Ann would like to buy a house. it costs $2,500,000. her down payment will be $50,000. she will take out a mortgage for the remainder. it will be a 30 year, fully amortizing, frm, with constant monthly payments and monthly compounding. the annual interest rate is 4.00%. she will pay $5,000 in closing costs at origination. she will also pay 1.75% of the balance in buy-down points at origination. note: the home is bought and the loan is taken in month 0, the first payment is due in month
1. in the spreadsheet where it says "cash inflow", "outflow" and "net cash flow" you should only take into account cash flow related to the mortgage.
2. fill in the spreadsheet (sheet "fa amortization schedule") for ann. (it is called an amortization schedule or amortization calendar.)
3. compute ann's annualized irr for the mortgage in the spreadsheet. (use the net cash flow.)
(3.a) what is the annualized irr for the mortgage?
(3.b) is it higher or lower than the mortgage contract rate?
(3.c) why? in excel

At the end of the week, carla receives her paycheck and goes directly to the bank after work to make a deposit into her savings account. the bank keeps the required reserve and then loans out the remaining balance to a qualified borrower named malik as a portion of his small business loan. malik uses the loan to buy a tractor for his construction business and makes small monthly payments to the bank to payback the principal balance plus interest on the loan. the bank profits from a portion of the interest payment received and also passes some of the interest back to carla in the form of an interest payment to her savings account. in this example, the bank is acting

What is the state tax rate for a resident of arizona whose annual taxable income is $18,000?

Walsh company manufactures and sells one product. the following information pertains to each of the company’s first two years of operations: variable costs per unit: manufacturing: direct materials $ 25 direct labor $ 12 variable manufacturing overhead $ 5 variable selling and administrative $ 4 fixed costs per year: fixed manufacturing overhead $ 400,000 fixed selling and administrative expenses $ 60,000 during its first year of operations, walsh produced 50,000 units and sold 40,000 units. during its second year of operations, it produced 40,000 units and sold 50,000 units. the selling price of the company’s product is $83 per unit. required: 1. assume the company uses variable costing: a. compute the unit product cost for year 1 and year 2. b. prepare an income statement for year 1 and year 2. 2. assume the company uses absorption costing: a. compute the unit product cost for year 1 and year 2. b. prepare an income statement for year 1 and year 2. 3. reconcile the difference between variable costing and absorption costing net operating income in year 1.