Use the Information for the Question(s)below

question 38

Multiple Choice

Use the information for the question(s) below.
You are purchasing a new home and need to borrow $250 000 from a mortgage lender. The mortgage lender quotes you a rate of 6.25% APR for a 30-year fixed rate mortgage. The mortgage lender also tells you that if you are willing to pay two points, they can offer you a lower rate of 6.0% APR for a 30-year fixed rate mortgage. One point is equal to 1% of the loan value. So if you take the lower rate and pay the points, you will need to borrow an additional $5 000 to cover points you are paying the lender.
-Assuming you pay the points and borrow from the mortgage lender at 6.00%, then your monthly mortgage payment (with payments made at the end of the month) will be closest to:

• A)$1 570
• B)$1 540
• C)$1 530
• D)$1 500

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Definitions:

Time and Schedules

The organization and planning of activities or tasks within designated periods to ensure efficient use of time and adherence to deadlines.

Punctuality

The quality or habit of being on time to appointments, meetings, or events, reflecting reliability and respect for others' time.

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Companies and enterprises operating within the United States, subject to its regulatory, economic, and market conditions.

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The ability to understand, communicate with, and effectively interact with people across cultures, recognizing and respecting their differences.