Answer:
You have not given any options to chose from but seemingly the answer is Line Extension.
This happens when a company introduces additional items in the same product category under the same brand name such as new flavors, forms, colors, added ingredients, package sizes, etc..
Explanation:
Answer:
a. Assuming that fixed payments are to be made monthly for three years and that the loan is fully amortizing, what will be the monthly payments? What will be the loan balance after three years?
- monthly payment = $997.95
- principal balance after 36th payment = $145,090.59
b. What would new payments be beginning in year 4 if the interest rate fell to 6 percent and the loan continued to be fully amortizing?
- monthly payment = $905.34
c. In (a) what would monthly payments be during year 1 if they were interest only? What would payments be beginning in year 4 if interest rates fell to 6 percent and the loan became fully amortizing?
a. $875
b. $935.98
Explanation:
A 3/1 adjustable rate mortgage is a 30 year mortgage where the interest rate is fixed for the first 3 years, and then it can vary.
I prepared an amortization schedule that shows the first 3 payments with a 7% interest rate and then the rest of the payments will carry a 6% interest rate.
The monthly payment for the first 36 months is $997.95 (principal balance after 36th payment $145,090.59), then it decreases to $905.34 per month.
See amortization schedule 1
if the monthly payments only covered interest expenses during the first 3 years, they would be $150,000 x 7%/12 = $875
then the monthly payments would be $935.98.
See amortization schedule 2
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Answer:
487.87 lots
Explanation:
Step 1
As we know that:
392 lots = 43,560 square feet per acre
Step 2
So total lots for 120 acres would be:
392 lots * 120 = 43560 square feet per acre * 120
47040 lots = 5,227,200 square feet per acre
Step 3
The land available is 70% of total square feet:
Land available = 5,227,200 * 70% = 3,659,040 square feet per acre
Step 4
Converting these square feet into adjusted square feet per lot according to our required square feet per lot measure
Because we want to keep 7500 sq feet in a single lot (7500 sq ft/ lot)
Adjusted square feet per lot according to our requirements= 3,659,040 square feet per acre / 7,500 = 487.87 lots
