Answer:
If Dominic buys 2 points (2% of the loan value) he will get a better rate and hence less payment. The question is asking how long will it take him to save the initial investment of 2% of the loan value due to a smaller payment. The monthly payment at 5.45% is $1,146.43, the monthly payment for 5.2% is $1,118.66. This is a difference of $27.77 per month. The 2 points will cost him $3,752.00. The question is asking how long will it take Dominic to re-coup his $3,752.00 if he saves $27.77 per month. Just divide the 2 numbers and you get 135.10 months. If you divide that by 12 you get 11.26 years, which is roughly 11 years, 4 months.
Step-by-step explanation:
Here is what the question is asking. If Dominic buys 2 points (2% of the loan value) he will get a better rate and hence less payment. The question is asking how long will it take him to save the initial investment of 2% of the loan value due to a smaller payment. The monthly payment at 5.45% is $1,146.43, the monthly payment for 5.2% is $1,118.66. This is a difference of $27.77 per month. The 2 points will cost him $3,752.00. The question is asking how long will it take Dominic to re-coup his $3,752.00 if he saves $27.77 per month. Just divide the 2 numbers and you get 135.10 months. If you divide that by 12 you get 11.26 years, which is roughly 11 years, 4 months.
Answer:
Do you still need this one?
Step-by-step explanation:
Answer:
B
Step-by-step explanation:
1 is 100% so increasing it by 12% means adding 0.12 to it
We have an equation with parentheses. To make our lives easier, first get rid of the parentheses. We do this by using the distributive property.
It is used like this: a(b + c) = ab + ac.
Use the distributive property on the left-hand side.
3(x - 1) = 6
3x - 3 = 6
Now we have an equation that is easier.
The x variable is being multiplied by 3 and added to -3.
Reverse all of these operations with their inverse operation.
3x - 3 = 6
3x = 9 <--- I got rid of the -3 term by using the inverse of subtraction. Addition.
And I did the same for both sides to keep the equation true.
x = 3 <--- The inverse of multiplication is division.
So, I divided both sides by 3.
So, x is equal to 3.
