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Karolina [17]
2 years ago
9

You have taken out a $225,000, 3/1 ARM. The initial rate of 5.8% (annual) is locked in for three years and is expected to increa

se to 6.5% at the end of the lock period. Calculate the initial payment on the loan. (Note: the term on this 3/1 ARM is 30 years.)
Business
1 answer:
RoseWind [281]2 years ago
8 0

Answer:

$1,320.19

Explanation:

Loan amount = $225,000

Rate = 5.80%

Years = 30

PMT = ?

Initial payment = PMT(Rate/12, Years*12, -225,000)

Initial payment = PMT(5.80%/12, 360, -225,000)

Initial payment = 1320.185230439806

Initial payment = $1,320.19

Therefore, the initial payment on the loan is $1,320.19

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Answer:

Real rate of return=  0.048 = 4.8%

Explanation:

Giving the following information:

Nominal rate of return= 11.7%

Inflation rate= 6.9%

<u>To calculate the real rate of return, we need to use the following formula:</u>

Real rate of return= nominal rate of return - inflation rate

Real rate of return= 0.117 - 0.069

Real rate of return=  0.048 = 4.8%

The inflation rate decreases the real value of money through time.

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Answer:

C) Which argument for restricting free trade is politically feasible?

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We can argue the benefits of foreign trade or how can we increase them, but the fact that foreign trade exists and cannot be stopped is something that not even President Trump could avoid.  

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A fully global organization might set up a ________ with a foreign company to create a new, independent company that produces a
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When businesses expand internationally, they frequently begin small?

When businesses expand internationally, they frequently begin by merely exporting their goods to one or more foreign nations.

Exists a company that runs operations in multiple nations?

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Is the seller always responsible for shipping goods to the buyer?
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