Answer:
A. demographics
Explanation:
"Demographics" refers to the groups that people can be separated in to based on different factors such as those listed (age, income, family size, occupation, etc).
Answer:
A. Management's minimum required balance.
Explanation:
The minimum balance is the minimum dollar sum that a client must have in an account to get some service benefit, for example, keeping the account open or getting premium.
Answer:
PV(after-tax net return in 7th year) = 70.55 (Approx)
Explanation:
Given:
Number of year = 7
Pre-tax net returns (Fn) = $100
Growth rate = 4% = 0.04
Inflation = 3% = 0.03
Marginal tax rate = 30% = 0.3
Discount rate = 10% = 0.1
Computation:
Fn = Fo(1+g)ⁿ = 100(1.04)⁷
Fn = 131.6
Nominal net returns = 131.6(1.03)⁷
Nominal net returns = 161.85
After tax return = 161.85 (1 - 0.3)
After tax return = 113.30
After-tax, risk adjusted discount rate = 0.1(1-0.3) = 7%
PV(after-tax net return in 7th year) = 113.30
(1+0.07)⁻⁷
PV(after-tax net return in 7th year) = 70.55 (Approx)
Answer:
96.5%
Explanation:
Data provided in the question:
Purchase price i.e the value = $278,000
Down payment paid = 3.5%
Upfront mortgage insurance premium = $4,865
Now,
Amount of down payment = 3.5% of loan value
= 0.035 × $278,000
= $9,730
Therefore,
The loan value = value - Amount of down payment
= $278,000 - $9,730
= $268,270
Thus,
loan-to-value on the loan = [ loan value ÷ value ] × 100%
= [ $268,270 ÷ $278,000 ] × 100%
= 96.5%
