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4 years ago

What fee is charged by a lender for holding credit available for a borrower, often associated with a construction loan?

Business

1 answer:

mr_godi [17]4 years ago

7 0

Answer:

The correct answer is the option 2: Loan Origination Fee.

Explanation:

To begin with, a Loan Origination Fee is the name given in the U.S to an upfront fee, that is being charged by a lender who will process a new loan application and the main purpose of the fee is to compensate the time that is being used for putting the loan in place. Moreover, this type of fees are quoted as a percentage of the total loan. Furthermore, this type of loan is usually associated with a construction loan due to the fact that it will be good for the borrower only is the person plans to sell or refinance within a few years.

You might be interested in

A fast internationalization strategy for better generation has some associated risks. What are these risks?

Alex_Xolod [135]

Answer: Political risks eg High taxes

Economic risks eg fluctuation of exchange in currency.

Please see below for further explanation.

Explanation:

Internationalization strategy is the plan by an organization to expand beyond the domestic market to become globally visible in another country or countries market.

The risks associated Associated when a company, better generation tries to expand globally include

1.)Political risks:Political risk occurs when target countries policies change or fluctuates in such a way to negatively affect a business.

Some of the political risks include

---Instability in foreign country's governments due to corruption

---Government regulations eg High taxation, High tariff quotas

-----Trade barriers etc.

2.Economic Risks here refers to the conditions in the foreign nation's economy that affect a company's financial gains.

Some of the Economic risk include

-fluctuations in the value of currencies exchange.

-Inflation

-Quality of basic infrastructure in terms of electricity, transportation, accessible to water etc as the case may be.

--Labor and differences in wages.

7 0

4 years ago

A year end review of Accounts Receivable and estimated uncollectible percentages revealed the following: Days Outstanding Accou

olganol [36]

Answer:

A. $ 8 comma 730.

Explanation:

The computation is shown below:

For 1 - 30 days

= $61,000 × 2%

= $1,220

For 31 - 60 days

= $44,000 × 5%

= $2,200

For 61 - 90 days

= $21,000 × 11%

= $2,310

Over 90 days

= $9,000 × 50%

= $4,500

So, the total amount is

= $1,220 + $2,200 + $2,310 + $4,500

= $10,230

Now the Account Expense is

= Total expense - credit balance

= $10,230 - $1,500

= $8,730

3 0

3 years ago

A company incurred the following costs: Selling and administrative expenses: $45,000; Direct materials: $15,000; Income tax expe

Westkost [7]

Answer:

$50,000

Explanation:

Manufacturing cost is sum of direct material plus direct labour and manufacturing overhead

Direct material is the cost of all materials directly consumed for production purpose.

Direct labour is the cost of labour hours used for directly for production purpose

Manufacturing cost = 15,000+30,000 + 5000

=$50,000

5 0

3 years ago

Then, she asks: recently, patel events plus purchased a new venue for our events. If we asked you to calculate the return on inv

Eva8 [605]

The net profit over time and the cost of the investment make up the two metrics that comprise return on investment.

<h3>Return on Investment (ROI): How Is It Calculated?</h3>

Divide the profit from an investment by the investment's cost to get return on investment (ROI). The ROI, or percentage return on investment, for an investment with a profit of $100 and a cost of $100, for instance, would be 1, or 100%. Despite being a quick and simple method to gauge an investment's effectiveness, ROI has some significant drawbacks. The time value of money, for instance, is not taken into account by ROI, and it can be challenging to effectively compare ROIs because certain investments will take longer to turn a return than others.

To know more about Return on Investment visit:

brainly.com/question/15353704

#SPJ4

7 0

1 year ago

Prior to the 1870s, both gold and silver were used as international means of payment and the exchange rates among currencies wer

SashulF [63]

Answer:

the exchange rate between U.S. dollar and German mark be under this system will be of 3 U$D = 1 german mark

Explanation:

We will use gold and silver as a mean to equalize both currencies:

First equivalence between silver and gold:

90 francs = 1 ounce of gold

9 franc = 1 ounce of silver

90/9 = 10 ounce of silver equals 1 ounce of gold.

Now, we convert the german mark to gold:

1 german mark = ounce of silver

10 german mark = ounce of gold.

Finally, we equalize with the US dollars:

30 dollar = ounce of gold = 10 german mark

30 dollars = 10 german mark

3 dollars = 1 german mark

4 0

3 years ago