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mafiozo [28]
2 years ago
15

A 22-year-old college graduate just got a job in Nashville. She is considering buying a house with a $200,000 mortgage. The APR

is 4% compounded monthly for her monthly mortgage payments on a 30-year fixed rate loan. If she can get her FICO score up to 750, the APR drops to 3.6%. How much in interest cost will she save over the life of the loan assuming she can increase her FICO score to 750?
Business
1 answer:
Sloan [31]2 years ago
8 0

Answer:

$16,394.26

Explanation:

using a loan calculator we can determine the amount of interest paid in both loans:

<u>loan 1</u>                                                 <u>loan 2</u>

n = 30 years                                      n = 30 years

principal = $200,000                       principal = $200,000

APR = 4%                                          APR = 3.6%

monthly payment = $954.83          monthly payment = $909.29

total interest paid = $143,739.01    total interest paid = $127,344.65

the difference in total interest paid between both loans = $143,739.01 - $127,344.65  = $16,394.26

the difference in monthly payment between both loans = $954.83 - $909.29  = $45.54

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The central bank buys $15,000 worth of bonds in the open market from Christopher, who
vladimir2022 [97]

Answer:

(a) What is the amount by which Carla Bank's liabilities have changed?

Carla Bank's liabilities increased by $15,000 (bank deposits are liabilities).  

(b) Calculate the change in required reserves for Carla Bank.

Carla Bank's reserves must increase by $15,000 x 5% = $750

(c) What is the dollar value of the maximum amount of new loans Carla Bank can initially make because of Christopher's deposit?

Carla Bank can loan $15,000 x 95% = $14,250

(d) Based on the central bank's open-market purchase of bonds, calculate the maximum amount by which the money supply can change throughout the banking system.

Money multiplier = 1 / 5% = 20

The money supply has the potential to increase by $15,000 x 20 = $300,000

(e) How will the change in the money supply in part (d) affect aggregate demand in the short run? Explain.

Aggregate demand will increase since the total money supply increases. This should also help to decrease the interest rates and foster investment.

4 0
2 years ago
Which environment is not an important dimension of a business organization's external environment?
timofeeve [1]

Answer: d. the corporate culture envrionment

Explanation:

5 0
3 years ago
Which of the following is an example of a conditional statement?
statuscvo [17]
The answer is A!!!!!!!!!!!
4 0
3 years ago
Hardigree Corporation uses a job-order costing system. Beginning balance in Work in Process $ 36,000 (1) Raw materials purchased
Katena32 [7]

Answer:

$242,000

Explanation:

Calculation of the total amount of manufacturing overhead actually incurred:

Particulars                                                    Amount

Indirect Materials                                         $42,000

Indirect labor                                                $101,000

Depreciation On factory equipment           $42,000

Additional Manufacturing Overhead          <u>$57,000</u>

Total Manufacturing Overhead incurred <u>$242,000</u>

7 0
2 years ago
Astrid currently consumes only milk and honey. She drinks four quarts of milk priced at $3 per quart and gets 30 utils for the l
asambeis [7]

Answer:

Yes, the Astrid maximizing her utility

Explanation:

Given that

Utils for the last quart = 30

Per quart = $3

Honey price = $0.75

Utils of Last jar = 7.5

The calculation of maximum utility is given below:-

Per dollar utility gained by milk

= 30 ÷ 3

= 10 utils

Milk utility for $0.75

= 30 ÷ 3 × $0.75

= 7.5 utils

Therefore from the last quart the utility was same and the dollars was spent in last jar. So, Astrid can maximizing her utility.

4 0
3 years ago
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