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hichkok12 [17]
2 years ago
6

Your mortgage is a 30-year fixed at 8% on $150,000. You are considering refinancing at 3.5% fixed for 30 years. The bank charges

you 1.5% of your debt in closing fees. Approximately how long will it take you to recoup the closing fees from the reduced loan payment amount?
a) 4 months
b) 15 months
c) 2 years
d) 30 years
Business
2 answers:
Ilya [14]2 years ago
8 0

Answer:

Option A,4 months

Explanation:

Closing fees =1.5% of the mortgage

mortgage amount is $150,000

closing fees =$150,000*1.5%=$2250

The mortgage monthly payment can be computed using the pmt formula in excel as follows:

=pmt(rate,nper,-pv,fv)

rate is the rate per month which is 3.5%/12=0.002916667

nper is 30 years multiplied by 12 =360

pv is the amount of mortgage which is $150,000

fv is the sum of the interest on mortgage and mortgage amount which is unknown

=pmt(0.002916667 ,360,-150000,0)= 673.57  

the final answer=closing fees/monthly payment=$2250 /$673.57  = 3.34  months

The closest option is 4 months

Gre4nikov [31]2 years ago
3 0

Answer:

The answer is a) 4 months.

Explanation:

I just got this question earlier and the answer is A. I tried the same strategy as the one above and it works. The answer is 4 months since 3.34 is close to 4 months.

Hope this helps!!

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Schrute Farm Sales buys portable generators for $470 and sells them for $720 He pays a sales commission of 5% of sales revenue t
ad-work [718]

Answer:

The correct answer is A.

Explanation:

Giving the following information:

Schrute Farm Sales buys portable generators for $470 and sells them for $720 He pays a sales commission of 5% of sales revenue to his sales staff. Mr. Schrute pays $7,000 a month rent for his store and also pays $1,700 a month to his staff in addition to the commissions. Mr. Schrute sold 500 generators in June.

Revenue= 720*500= $360,000

Cost of goods sold= 470*500= 235,000 (-)

Sales commision= 0.05*360,000= 18,000 (-)

Contribution Margin= 107,000

Rent= 7,000 (-)

Fixed sales comission= 1,700 (-)

Operating income= $98,300

8 0
2 years ago
Fancy Nails has an estimated cost for supplies of $0.75 per manicure. June's budget was based on 2,400 manicures and a total cos
Serjik [45]

Answer:

a. $125 U

Explanation:

The computation of the spending variance is shown below:

= Flexible cost - actual cost

where,

Flexible cost = 2,500 manicures × $0.75 = $1,875

And, the actual cost is $2,000

Now put these values to the above formula  

So, the value would equal to

= $1,875 - $2,000

= $125 U

It shows a difference between the actual cost and the flexible cost. Since the flexible cost is less than the actual cost so, it is unfavorable otherwise it would be favorable

4 0
2 years ago
This program will store roster and rating information for a soccer team. coaches rate players during tryouts to ensure a balance
Vedmedyk [2.9K]

Answer:

Explanation:

#include <iostream>

#include <vector>

using namespace std;

int main() {

   vector<int> jerseyNumber;

   vector<int> rating;

   int temp;

   for (int i = 1; i <= 5; i++) {

       cout << "Enter player " << i

            << "'s jersey number: ";

       cin >> temp;

       jerseyNumber.push_back(temp);

       cout << "Enter player " << i

            << "'s rating: ";

       cin >> temp;

       rating.push_back(temp);

       cout << endl;

   }

   cout << "ROSTER" << endl;

   for (int i = 0; i < 5; i++)

       cout << "Player " << i + 1 << " -- "

            << "Jersey number: " << jerseyNumber.at(i)

            << ", Rating: " << rating.at(i) << endl;

   char option;

   '

   while (true) {

       cout << "MENU" << endl;

       cout << "a - Add player" << endl;

       cout << "d - Remove player" << endl;

       cout << "u - Update player rating" << endl;

       cout << "r - Output players above a rating"

            << endl;

       cout << "o - Output roster" << endl;

       cout << "q - Quit" << endl << endl;

       cout << "Choose an option: ";

       cin >> option;

       switch (option) {

           case 'a':

           case 'A':

               cout << "Enter a new player's"

                    << "jersey number: ";

               cin >> temp;

               jerseyNumber.push_back(temp);

               cout << "Enter the player's rating: ";

               cin >> temp;

               rating.push_back(temp);

               break;

           case 'd':

           case 'D':

               cout << "Enter a jersey number: ";

               cin >> temp;

               int i;

               for (i = 0; i < jerseyNumber.size();

                    i++) {

                   if (jerseyNumber.at(i) == temp) {

                       jerseyNumber.erase(

                               jerseyNumber.begin() + i);

                       rating.erase(rating.begin() + i);

                       break;

                   }

               }

               break;

           case 'u':

           case 'U':

               cout << "Enter a jersey number: ";

               cin >> temp;

               for (int i = 0; i < jerseyNumber.size();

                    i++) {

                   if (jerseyNumber.at(i) == temp) {

                       cout << "Enter a new rating "

                            << "for player: ";

                       cin >> temp;

                       rating.at(i) = temp;

                       break;

                   }

               }

               break;

           case 'r':

           case 'R':

               cout << "Enter a rating: ";

               cin >> temp;

               cout << "\nABOVE " << temp << endl;

               for (int i = 0; i < jerseyNumber.size();

                    i++)

                   if (rating.at(i) > temp)

                       cout << "Player " << i + 1

                            << " -- "

                            << "Jersey number: "

                            << jerseyNumber.at(i)

                            << ", Rating: "

                            << rating.at(i) << endl;

               break;

           case 'o':

           case 'O':

               cout << "ROSTER" << endl;

               for (int i = 0; i < jerseyNumber.size();

                    i++)

                   cout << "Player " << i + 1 << " -- "

                        << "Jersey number: "

                        << jerseyNumber.at(i) << ", Rating: "

                        << rating.at(i) << endl;

               break;

           case 'q':

               return 0;

           default:

               cout << "Invalid menu option."

                    << " Try again." << endl;

       }

   }

}

4 0
1 year ago
Ray Jene earns $900 a week at a Publix supermarket. Ray's payroll deductions are 28%. What is Ray's take-home pay?
kaheart [24]
If Ray earns $900 a week and deductions are 28% Ray's take home pay is:
$648 a week

If we assume that the deductions of 28% are taken out of the $900 weekly we will multiply 900 by 0.28 = 252. Then subtract 252 which is the deduction amount from the 900 and we end up with take home pay of $648.
7 0
2 years ago
A company factored $30,000 of its accounts receivable and was charged a 2% factoring fee. The journal entry to record this trans
rosijanka [135]

Answer:

False

Explanation:

Given that,

Accounts receivable = $30,000

Factoring fee charged = 2%

Therefore,

Factory fee = 2% of Accounts receivable

                   = 2% × $30,000

                   = $600

The amount $600 has to be subtracted from the accounts receivable.

Hence, the journal entry is as follows;

Cash A/c ($30,000 - $600) Dr. $29,400

Factory fee Expense A/c     Dr. $600

      To Accounts Receivable                     $30,000

(To record the account receivable)

4 0
1 year ago
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