Question 15 3.3 pts A commercial borrower has a $12,000,000 interest-only mortgage at 8% interest rate for 15 year. There is a lockout period of 10 years for the loan. The mortgage has a prepayment penalty if the borrower prepay. Assuming the loan is prepaid at the end of year 12 and the mortgage interest rate at that time is 7%. How much is prepayment penalty, if the lender will charge a yield maintenance penalty. O $353,480 $319,118 $343,032 O $326,522

Question 15 3.3 pts A commercial borrower has a $12,000,000 interest-only mortgage at 8% interest rate for 15 year. There is a lockout period of 10 years for the loan. The mortgage has a prepayment penalty if the borrower prepay. Assuming the loan is prepaid at the end of year 12 and the mortgage interest rate at that time is 7%. How much is prepayment penalty, if the lender will charge a yield maintenance penalty. O $353,480 $319,118 $343,032 O $326,522

Pfin (with Mindtap, 1 Term Printed Access Card) (mindtap Course List)

7th Edition

ISBN:9780357033609

Author:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Publisher:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Chapter7: Using Consumer Loans

Section: Chapter Questions

Problem 7FPE: Calculating interest and APR of installment loan. Assuming that interest is the only finance charge,...

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