Answer:
Mary can deduct $1,300 in year 1 for her points paid.
Explanation:
a) Data and Calculations:
April 1, Amount borrowed by Mary to refinance the original mortgage on her principal residence = $130,000
Payment of 1 points to reduce Mary's interest rate from 7% to 6% amounts to 1% of $130,000 = $1,300.
b) Mary paying 1 points is beneficial to her since her interest cost is reduced from 7% to 6%. This implies that her total finance cost at the end of the 30-year period will be reduced.
That is true, if you raise the rate then the present value falls.Of course, the present value will fall assuming the existence of positive cash flows. This annuity present value is divided into four pieces which are: the present value (PV), the periodic cash flow (C), the discount rate (r), and the number of payments, or the life of the annuity, (T).
Expansion, peak, contraction, and trough. An expansion is characterized by increasing employment, economic growth, and upward pressure on prices.
Answer:
C.) Premises Liability Act
Explanation:
This is because it happened on their property/premise. The Act states this to be true.
I guess the correct answers are:
Therefore, all of the above.