![aronandalp3yep6](/avatars/21662.jpg)
aronandalp3yep6
02.02.2021 •
Business
A business can consider the possible advantages of an economic decision as well as it’s possible drawbacks by:
Solved
Show answers
More tips
- O Other Discovering the Funniest Joke Ever Told...
- F Food and Cooking How to Make Napoleon Cake: A Step-by-Step Guide...
- F Food and Cooking From Latte to Espresso: Which Coffee Drink is the Most Popular on Earth?...
- C Computers and Internet How to Set Up Internet on iPhone? Detailed Guide with Step-by-Step Instructions...
- F Family and Home How to Teach Your Child to Speak: Tips and Recommendations...
- P Philosophy Agnosticism: Opinion or Belief?...
- S Style and Beauty How to choose the best mascara for your eyelashes...
- F Food and Cooking Discover Delicious Recipes You Can Make with Ground Meat...
- C Computers and Internet Google Search Tips and Tricks: Everything You Need to Know...
- S Science and Technology Why is there no gravity on other planets?...
Answers on questions: Business
- B Business Present Value Index Tasty Doughnuts has computed the net present value for capital expenditure at two locations. Relevant data related to the computation are as...
- B Business Believing that wealthy people deserve to be robbed because of their ill-gotten gains best illustrates a potential consequence of...
- B Business Which of the following is false regarding the employer-employee relationship? Multiple Choice An employee is subject to the control of his or her employer Generally,...
- B Business Both Bond Bill and Bond Ted have 11.2 percent coupons, make semiannual payments, and are priced at par value. Bond Bill has 4 years to maturity, whereas Bond Ted...
- B Business Which one of the following terms is defined as a loan wherein the regular payments, including both interest and principal amounts, are insufficient to retire the...
- B Business The following statement is an excerpt from the FASB pronouncement related to interim reporting. Interim financial information is essential to provide investors and...
- B Business Kindzi Co. has preferred stock outstanding that is expected to pay an annual dividend of $4.67 every year in perpetuity. If the required return is 4.54 percent,...
- B Business Which of the following represents the predictable sequence of stages in team development? storming, norming, performing, forming, and adjourning forming, storming,...
- B Business Portfolio tests refer to Multiple Choice presenting a panel of consumers with an ad and asking for their reactions concerning the ad s effectiveness, appeal, etc....
- B Business When a company is following the proportionality principle in its policy creation, the security levels, costs, practices, and procedures are all appropriate and proportionate...
Ответ:
of the three mortgage options that demarco and tanya have to choose from, the balloon payment mortgage would be their best option, over adjustable payment and fixed payment plans.ultimately, the balloon payment plan would save demarco and tanya overall, in interest, would cost less monthly, and they would only have to make these payments for 8 years, opposing to 30 years for adjustable or fixed payment plans.
overall, demarco and tanya would save $80,811 if they chose balloon payments over fixed payments, and would save $116,711 if they choose balloon payments over adjustable payments. benefits with choosing fixed payments over adjustable payments is that, in the end, the payments will still be $836.30 a month, while with adjustable payments, the initial monthly payments will be $763.38 to $1082.70 a month, ultimately leading to a more costly purchase. benefits with choosing fixed payments over balloon payments are not present. benefits in choosing adjustable payments over is that it has a lower interest rate, and starts with lower monthly payments initially. benefits in choosing adjustable payments over balloon payments include a lower interest rate, and lower initial monthly payments. benefits in choosing balloon payments over fixed payments include lower interest rates, lower overall price, lower monthly payments, takes less time to pay off, and does not require a downpayment. benefits in choosing balloon payments over adjustable payments include, lower monthly payments (when averaged), takes less time to pay off, and lower overall price.
hence, option c, balloon payments, is the best option for demarco and tanya to make this purchase, for it will save them a minimum of $80811, and a maximum of $116,711.