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aivan3 [116]
3 years ago
14

A homebuyer wishes to finance the purchase with a $95,000 mortgage with a 20-year term. What is the maximum interest rate the bu

yer can afford if the monthly payment is not to exceed $900?
Business
1 answer:
galina1969 [7]3 years ago
5 0

Answer:

0.811% per month is the amximum rate it can affor

or 9.732% annual rate with monhly compounding.

Explanation:

We have to solve for the rate at which the monthly payment equals 900 dollars.

C \times \frac{1-(1+r)^{-time} }{rate} = PV\\

C 900.00

time 240

rate r

PV $95,000.0000

900 \times \frac{1-(1+r)^{-240} }{r} = 95,000\\

Given the complexity of the formula we solve using excel or a financial calcualtor

we write on a1 =PV(A2;240;95000)

on a2 we write any number between 0 and 1

then we use goal seek tool adn define that we want A1 to be 95,000 by changing A2 (which is the argument for rate)

the value of A2 after this is our answer:

900 \times \frac{1-(1+0.00811)^{-240} }{0.00811} = PV\\

PV $95,000.0000

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Kaye Blanchard is 50 years old. She has $48,000 of adjusted gross income and $11,600 of qualified medical expenses. She will be
Mariana [72]

Answer:

$6,800

Explanation:

Calculation for How much of a tax deduction will Kaye be able to deduct (assume 10% floor for deduction)

Tax deduction=$11,600-(10%*$48,000)

Tax deduction=$11,600-$4,800

Tax deduction=$6,800

Therefore the amount of tax deduction that Kaye will be able to deduct (assume 10% floor for deduction) is $6,800

6 0
3 years ago
While asia represents an important source of u.s. imports, few export opportunities exist for u.s. firms to sell goods and servi
Stells [14]
The correct answer is false. It is because it is not true that there are only few exports that exist for U.S. firms to sell goods and their services to asian consumers as they are likely to expand their goods and services all throughout by which few exports doesn't seem to be true.
5 0
3 years ago
Read 2 more answers
The process of buying an underpriced security and selling an equivalent overpriced security until the prices converge is known a
ipn [44]

The process of buying an underpriced security and selling an equivalent overpriced security until the prices converge is known as arbitrage. This statement is true.

<h3>What Is Arbitrage?</h3>

The arbitrage approach, used in foreign exchange trading, allows investors to lock in profits by simultaneously buying and selling the same security, good, or currency on two different marketplaces. By using this strategy, traders can profit from the disparities in pricing for the same asset across the two different regions that are represented on each side of the trade.

Arbitrage is the practice of purchasing an underpriced security and selling an equivalently-priced asset until the prices converge. Trading on illegal insider knowledge may result in abnormal profits even if the efficient market theory is accurate in a semi-strong sense.

To know more about Arbitrage, refer:

brainly.com/question/16178885

#SPJ4

7 0
1 year ago
If you charge/plug in your phone on a Xbox will the stuff in ur camera roll on your phone be on/in the Xbox???
Ronch [10]

Answer:

No.

Explanation:

You said if you <em>charge</em>, so it will only charge your phone. You aren't able to upload photos directly to an Xbox.

Although, if you are pc, you can upload a custom gamerpic easily.

(An example would be a gamerpic, you need the app in order to have a custom gamerpic because it accesses your files).

5 0
3 years ago
Read 2 more answers
Assume the world market for oil is competitive and that the marginal cost of producing​ (extracting and bringing to​ market) ano
xz_007 [3.2K]

Answer:

The economic surplus will decrease by $2.20

Explanation:

$81.40 and $79.20 are <em>marginal </em>cost and benefit, which are the changes to total costs and total benefits due to producing and consuming one additional barrel of oil.

They can be used to calculate <em>change </em>to economic surplus, which is the change to the net economic value received by society, which is given by:

marginal benefit - marginal cost = $79.20 - $81.40 = - $2.20

7 0
3 years ago
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