Q3. You obtained a partially amortizing CRE loan for 12,000,000 at 4.5% on August 1, 2015. It isamortized on a 25 year schedule, with a balloon payment due after 7 years. There is noprepayment penalty during the 7th year. You have a contract to sell the building and expect toclose on March 22, 2022.What will your monthly payments be?What will your balance be on March 1, 2022?(A9A)aximum theWhat is your daily interest amount during March 2022? (Note: Assume the bankers year of 360 days,which means all months are considered to be 30 day months).What will your loan payoff be on March 22, 2022?Name (printed):Signature:

Given Information:Loan amount is 12,000,000 on 1st August 2015Interest rate is 4.5%Number of years…

Answered: Q3. You obtained a partially amortizing…

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter19: Lease And Intermediate-term Financing

Section: Chapter Questions

Problem 14P

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H3. The interest rate on a $6400 loan is 7% compounded semi-annually, and the loan is to be repaid by monthly payments of $155. Construct a partial amortization schedule showing the last 2 payments. Determine the total amount paid to settle the loan. Show work, not just the answer. Determine the total principal repaid. Determine the total amount of interest paid. Show work, not just the answer.
Q5. Suppose you borrow $10,000. You are going to repay the loan by making equal annual payments for five years. The interest rate on the loan is 15 percent per year. Prepare an amortization schedule for the loan. How much interest will you pay over the life of the loan? Beginning Total Principal Ending Year Interest balance payment раyment раyment balance 1 $10,000 2 3 2,983.16 4 5 0.00
A basic ARM is made for $203,000 at an initial interest rate of 6 percent for 30 years with an annual reset date. The borrower believes that the interest rate at the beginning of year (BOY) 2 will increase to 7 percent. a. Assuming that a fully amortizing loan is made, what will the monthly payments be during year 1? b. Based on (a) what will the loan balance be at the end of year (EOY) 1? c. Given that the interest rate is expected to be 7 percent at the beginning of year 2, what will the monthly payments be during year 2? d. What will be the loan balance at the EOY 2? e. What would be the monthly payments in year 1 if they are to be interest only?
D3) You borrow $22947 to buy a car. You will have to repay this loan by making equal monthly payments for 15 years. The bank quoted an APR of 9%. How much is your monthly payment (in $ dollars)? $________.
You plan to borrow $25,000 at a 3.4% annual interest rate compounded annually. The terms require you to amortize the loan with 5 equal payments each made at the end of each year. You would like to construct an amortization schedule showing details of the payments. Answer the following questions, and choose the closest answer from the possible choices following each question: 1.To find the interest repaid in period 1 only in the financial calculator amortization worksheet, you enter P2 = 2.To find the interest repaid in period 1 only in the financial calculator amortization worksheet, you enter P1 = 3.How much total interest is repaid in periods 1 to 2?
A basic ARM is made for $216,000 at an initial interest rate of 6 percent for 30 years with an annual reset date. The borrower believes that the interest rate at the beginning of year (BOY ) 2 will increase to 7 percent. Required: a. Assuming that a fully amortizing loan is made, what will the monthly payments be during year 1? b. Based on (a) what will the loan balance be at the end of year (EOY ) 1? c. Given that the interest rate is expected to be 7 percent at the beginning of year 2, what will the monthly payments be during year 2? d. What will be the loan balance at the EOY 2? e. What would be the monthly payments in year 1 if they are to be interest only?
A basic ARM is made for $200,000 at an initial interest rate of 6 percent for 30 years with an annual reset date. The borrower believes that the interest rate at the beginning of the year (BOY) 2 will increase to 7 percent.a. Assuming that a fully amortizing loan is made, what will monthly payments be during year 1?b. Based on (a) what will the loan balance be at the end of the year (EOY) 1?c. Given that the interest rate is expected to be 7 percent at the beginning of year 2, what willmonthly payments be during year 2?d. What will be the loan balance at the EOY 2?e. What would be the monthly payments in year 1 if they are to be interest only?f. Assuming terms in (e), what would monthly interest only payments be in year 2?
A basic ARM is made for $180,000 at an initial interest rate of 6 percent for 30 years with an annual reset date. The borrower believes that the interest rate at the beginning of the year (BOY) 2 will increase to 7 percent. a. Assuming that a fully amortizing loan is made, what will monthly payments be during year 1? b. Based on (a) what will the loan balance be at the end of the year (EOY) 1? c. Given that the interest rate is expected to be 7 percent at the beginning of year 2, what will monthly payments be during year 2? d. What will be the loan balance at the EOY 2?
14. You are considering borrowing OMR150,000 to purchase a new home. a. Calculate the monthly payment needed to amortize an 8 percent, fixed-rate, 30-year mortgage loan. b. Calculate the monthly amortization payment if the loan in (a) was for 15 years.
basic ARM is made for $220,000 at an initial interest rate of 6 percent for 30 years with an annual resetdate. The borrower believes that the interest rate at the beginning of year (BOY) 2 will increase to 7 percent. Required:a. Assuming that a fully amortizing loan is made, what will the monthly payments be during year 1? b. Based on (a) what will the loan balance be at the end of year (EOY) 1? c. Given that the interest rate is expected to be 7 percent at the beginning of year 2, what will the monthlypayments be during year 2? d. What will be the loan balance at the EOY 2 ? e. What would be the monthly payments in year 1 if they are to be interest only?
A $700,000 loan was received on Nov. 30, 2022, with annual interest at 9.5%, C/M, requires monthly, end of period payments of $7,700, beginning Dec.31, 2022. How many payments are needed to fully pay off the loan? How much will the final payment be? How much interest is paid on the 30th payment? What is the balance still owing after 10 years? How much of the loan principal will be paid, in total, during years 6 and 7? How much interest is paid, in total, during the life of the loan?
A fully amortizing CAM loan is made for $132,000 at 6 percent interest for 20 years. Required: a. What will be the payments and balances for the first six months? b. What would payments be for a CPM loan? c. If both loans were repaid at the end of year 5, would the lender earn a higher rate of interest on either loan? Complete this question by entering your answers in the tabs below. Required A Required B Required C What will be the payments and balances for the first six months? (Round your intermediate calculations and final answers to the 2 decimal places.) Month 1 Month 2 Month 3 Total Payment End Balance

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