1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
seropon [69]
3 years ago
12

Vivien wants to buy a house. The house she wants is listed for $300,000, and she wants to avoid PMI insurance. She can get a fix

ed-rate mortgage at 4.25% for 30 years. Don’t worry about taxes and insurance for any of these questions, just keep in mind that those would need to be considered as well.
(a) What down payment will she need?
(b) If Vivien makes her down payment and takes out the loan described, what will be her monthly payment?
(c) If Vivien makes her down payment and takes out the loan described, what will be the total cost of the house?
Business
1 answer:
Paul [167]3 years ago
4 0

Answer:

A=$60,000; B= $1,180.66 C=$485,037.60

Explanation:

A. down payment required to avoid PMI insurance is 20%

Therefore 20% of $300,000

=$60,000

B.

Price = $300,000

Down Payment = $60,000.00

Present Value PV = -$240,000 (remaining debt after down payment),

Interest Rate I = 4.25% 12= 0.354% (for each month )

Number of Periods N = 30 × 12=360

Future Value) FV = $0

Periodic Payment PMT= iPV/ (1 - 1+ i)^-n

$1,180.66

C.

Price = $300,000

Down Payment = $60,000.00

Present Value PV = -$240,000 (remaining debt after down payment),

Interest Rate I = 4.25% 12= 0.354% (for each month )

Number of Periods N = 30 × 12=360

Future Value) FV = $0

Periodic Payment PMT= $1,180.66

total cost of the house = (PMT × N)+ down payment

$1,180.66 × 360 months = $425,037.6

$425,037.6+$60,000

=$485,037.60

You might be interested in
" Lanni Products is a start-up computer software development firm. It currently owns computer equipment worth $30,000 and has ca
Gre4nikov [31]

Answer:

A) Lanni takes out a bank loan. It receives $50,000 in cash and signs a note promising to pay back the loan over three years.  FINANCIAL ASSET CREATED: when the loan was received, a financial asset was created. Money is exchanged for a promissory note.

B) Lanni uses the cash from the bank plus $20,000 of its own funds to finance the development of new financial planning software.  REAL ASSET CREATED: when the software was developed, a real asset was created. Money was invested in developing the software.

C) Lanni sells the software product to Microsoft, which will market it to the public under the Microsoft name. Lanni accepts payment in the form of 1,500 shares of Microsoft stock.  FINANCIAL ASSET CREATED: when the software was traded, a financial asset was created. A real asset was traded in exchange for financial assets.

D) Lanni sells the shares of stock for $80 per share and uses part of the proceeds to pay off the bank loan." FINANCIAL ASSET DESTROYED: when the loan is paid back, the financial asset (loan) ceases to exist. When the money is paid back to the bank, the loan and the promissory note cease to exist.

5 0
3 years ago
A couple is required by their lender to have a down payment of 20% of the purchase price of the home they want to buy. if the co
Sedbober [7]
The answer is C because i just took the test and the answer was C so put C down and i bet 100% you'll get it right
5 0
3 years ago
Look at Exercise 19.2. Compute the opportunity costs of producing sweaters and wine in both France and Tunisia. Who has the lowe
monitta

Answer:

Answer Illustration : Opportunity Cost of producing Wine is lesser in France, Opportunity Cost of producing Sweaters is lesser in Tunisia. So, France has comparative advantage in Wine, Tunisia in Sweater.

Explanation:

Opportunity Cost is the cost of next best alternative foregone while choosing an alternative.

Opportunity Cost of producing Sweaters & Wine in France & Tunisia are quantities of other goods (Sweaters or Tunias) sacrifised while choosing either. Sweater Opportunity Cost - Wines sacrifised, Wine Opportunity Cost - Sweaters sacrifised.

The country has a comparative advantage in a good if it can produce it with relatively less opportunity cost (in terms of other good sacrifised) than other country.

Ex : Production Possibilities

                   Wine            Sweater    Trade off (Wine :Sweater)

France          10                   5              1:0.5  or 2:1

Tunisia          8                   24              1:3  or 0.33:1

  • France produces Wine with lesser opportunity cost (sweater sacrifised) than Tunisia  [0.5 sweater < 3 sweaters] ; it has comparative advantage in Wine.
  • Tunisia produces Sweater with less opportunity cost (wine sacrifised) than France [ 0.33 wine <  2 wines] ; it has comparative advantage in Tunisia
7 0
3 years ago
Recognizing an employee as the Star Performer of the Month would be satisfying the _____ need of the Maslow s hierarchy of needs
Vikki [24]

Answer:

The correct answer to the following question is Esteem need of Maslows hierarchy of needs.

Explanation:

Maslows hierarchy of need is a motivation theory given by Abraham maslow, according to him people are motivated in order to achieve certain. He has described his theory of needs as pyramid which consists of physiological needs, safety needs,  social needs, esteem needs and self actualization.

In esteem needs , maslow tells about people's need for appreciation and respect, after a person has achieved the first three basis needs , the persons behavior would be motivated by esteem needs. Because people have need for feeling prestige and sense of accomplishment, self worth and self esteem.

6 0
3 years ago
Unilever has a subsidiary in Japan. The valuation of this MNC should
Vlad [161]

Answer: increase; appreciate.

Explanation:

A multinational firm is regarded as a firm that's located in different countries. It should be noted that the valuation of this multinational company should

rise when there's an event that causes the expected cash flows from Japan to increase and also when the currency JPY is expected to appreciate. Appreciate her simply means when there's an increase in the value of JPY.

8 0
2 years ago
Other questions:
  • " what demographic and psychographic changes are creating business opportunities for new ventures
    12·1 answer
  • Today, your dream car costs $62,200. You feel that the price of the car will increase at an annual rate 2.2 percent. If you plan
    7·1 answer
  • ABC Bookstore sells packages of books that include both new and used
    7·1 answer
  • Which of the following is an unintended consequence of the rise of the primary and caucus system? Question 3 options:
    10·1 answer
  • What are the consequences of not notifying your reference of their inclusion in your job
    10·1 answer
  • What happens when the government finances a job creation project through taxes and borrowing?
    9·1 answer
  • A company's sales in Seattle were $410,000 in 2012, while their sales in Portland were $290,000 for the same year. Complete the
    12·1 answer
  • Everything else held constant, if the federal government were to guarantee today that it will pay creditors if a corporation goe
    12·1 answer
  • LEHET ........ is the degree of responsiveness of demand to changes in the price of the commodity in question (e. own price), pr
    7·1 answer
  • The type of unemployment associated with recessions is called:
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!