Given the following information, calculate the maximum loan the bank will give. LTV: 75%, DCR: 1.32,...
Given the following information, calculate the maximum loan the bank will give. LTV: 75%, DCR: 1.32, Purchase Price: $5,312,301, and NOI: $419,672.
Homework Answers
With given information, we can compute the maximum loan amount with Loan to value ratio (LTV):
Please note: We have ignored DCR and NOI because interest rate and term of loan not provided.
Hope it will help, please do comment if you need any further explanation. Your feedback would be highly appreciated.
Add Answer to:
Given the following
information, calculate the maximum loan the bank will give. LTV:
75%, DCR: 1.32,...
Given the following information, calculate the initial equity investment (i.e., the cash down payment) required to purch...
Given the following information, calculate the initial equity investment (i.e., the cash down payment) required to purchase the specific property. Purchase Price: $1,000,000; LTV: 75%; Up-front financing costs: 3% of loan amount. (Input your answer rounded to the nearest whole dollar and without the $ sign, e.g., 1000)
Given the following information provide an analysis that answers the questions at the end of the...
Given the following information provide an analysis that answers the questions at the end of the assignment. Purchase Price: $4,250,000 Rents: Tenant Unit 1 Unit 2 Unit 3 Unit 4 Unit 5 Unit 6 Unit 7 Unit 8 Monthly Rent $5,400 $5,400 $6,200 $3,500 $3,600 $3,300 $3,700 $3,100 Year 1 NOI: $248,678 NOI Growth Rate: 2.6% Loan: LTV: 75% Amortization Period: 25 years, Term: 10 years Interest Rate: 3.35% Lender Points: 2% Selling Costs: 3% Going...
Given the following information provide an analysis that answers the questions at the end of the...
Given the following information provide an analysis that answers the questions at the end of the assignment. Purchase Price: $4,100,000 Rents: Tenant Unit 1 Unit 2 Unit 3 Unit 4 Unit 5 Unit 6 Unit 7 Unit 8 Monthly Rent $5,600 $5,600 $5,800 $3,200 $3,200 $3,200 $3,200 $3,200 Year 1 NOI: $259,578 NOI Growth Rate: 3% Loan: LTV: 75% Amortization Period: 27 years, Term: 10 years Interest Rate: 4.35% Lender Points: 2% Selling Costs: 5% Going...
The following information is given about the Bank. The deposits for the bank are $1,000,000. The...
The following information is given about the Bank. The deposits for the bank are $1,000,000. The bank has reserves of $350,000. The reserve ratio is 10% Provide a T account for the bank that shows the deposits, reserves, and loans for the bank. What is the amount of the required reserve? Does the bank have any excess reserves? If yes, how much? What is the maximum amount of money the bank can loan? If the reserve ratio changed to 12.5%...
Calculate the adjusted bank balance and book balance for a company given the following information: Bank...
Calculate the adjusted bank balance and book balance for a company given the following information: Bank Balance December 31, 2018: $15,000 Book Balance December 31, 2018: $9,000 Outstanding checks: $12,000 Deposits in transit: $500 12 Interest paid on balance $200 $75 Bank Fees $525 NSF Check $5.100 9:50 AM Bank EFT Payments: O a e to search
Calculate the adjusted bank balance and book balance for a company given the following information: Bank Balance De...
Calculate the adjusted bank balance and book balance for a company given the following information: Bank Balance December 31, 2018: $15,000 Book Balance December 31, 2018: $9,000 Outstanding checks: $12,000 Deposits in transit: $500 Interest paid on balance $200 Bank Fees $75 NSF Check $525 Bank EFT Payments: $5,100
A farmer is considering borrowing money from a bank. Given the following information: Initial loan amount...
A farmer is considering borrowing money from a bank. Given the following information: Initial loan amount is $52,000. The loan will be fully amortized in 3 years at 10%. Marginal tax rate is 15%. (i) What is the tax saving in the 1st year? a. $917.65 b. $780.00 c. $663.00 d. None of the answers are correct (ii) What is the tax saving in the 2nd year? a. $626.00 b. $640.41 c. $462.70 d. $544.35 (iii) What is the total interest payment for...
Use the information provided below to answer the following questions: What will the borrower's total loan amount be if they opt for the FHA loan? $300,000 $289,500 $296,014 $300,514 Conventional...
Use the information provided below to answer the following questions: What will the borrower's total loan amount be if they opt for the FHA loan? $300,000 $289,500 $296,014 $300,514 Conventional Difference? Loan $300,000 FHA Loan Purchase Contract $300,000 Price $300,000 Appraised Value $300,000 Non-FHA Closing $4,500 $4,500 Costs Maximum loan $289,500 $285,000 $7,125 Upfront MIP S6,514 Total Loan Down payment Cash to close Conventional Difference? Loan $300,000 FHA Loan Purchase Contract $300,000 Price $300,000 Appraised Value $300,000 Non-FHA Closing $4,500...
Assume the following information: 2020 2019 Assets $50 $100 Cash Liobilities Current bank loan, due on...
Assume the following information: 2020 2019 Assets $50 $100 Cash Liobilities Current bank loan, due on demand $50 $100 Required: Assume the loan is an integral part of cash management. Calculate the change in cash and cash equivalents during the year, and the ending balance
1) Given the following cost information for a price-taking firm, what is the maximum amount of...
1) Given the following cost information for a price-taking firm, what is the maximum amount of profit that can be earned if the price is $60? Quantity 0 1 2 3 4 5 6 Total Cost 50 100 130 150 190 250 330 Group of answer choices a $300 b $40 c $30 d $50 2) Given the following cost information for a price-taking firm, what is the profit-maximizing quantity given a market price of $40? Quantity 0 1...
Calculate the adjusted bank balance and book balance for a company given the following information: Bank Balance December 31, 2018: $15,000 Book Balance December 31, 2018: $9,000 Outstanding checks: $12,000 Deposits in transit: $500 12 Interest paid on balance $200 $75 Bank Fees $525 NSF Check $5.100 9:50 AM Bank EFT Payments: O a e to search
Calculate the adjusted bank balance and book balance for a company given the following information: Bank Balance December 31, 2018: $15,000 Book Balance December 31, 2018: $9,000 Outstanding checks: $12,000 Deposits in transit: $500 Interest paid on balance $200 Bank Fees $75 NSF Check $525 Bank EFT Payments: $5,100
Assume the following information: 2020 2019 Assets $50 $100 Cash Liobilities Current bank loan, due on demand $50 $100 Required: Assume the loan is an integral part of cash management. Calculate the change in cash and cash equivalents during the year, and the ending balance
Most questions answered within 3 hours.
-
A construction company is planning to bid on a building
contract. The bid costs the company...
asked 4 minutes ago -
A sample of 45 observations is selected from a normal
population. The sample mean is 49,...
asked 7 minutes ago -
A firm operating in a purely competitive environment is faced
with a market price of $250....
asked 11 minutes ago -
•Let’s say someone claims the average population size is
600 feet squared and the housing authority...
asked 18 minutes ago -
Cynaide is a deadly poison that blocks the last step in the
electron transport chain of...
asked 23 minutes ago -
Your friend tells you that there is a vending machine on campus
that dispenses M&M packs...
asked 38 minutes ago -
What advantages are there to using piperidine rather than
hydroxide as a base?
asked 36 minutes ago -
7. The life of a Freeze Breeze electric fan is normally
distributed with a mean 4...
asked 39 minutes ago -
1. A 751 mL NaCl solution is diluted to a volume of 1.06 L and a...
asked 44 minutes ago -
8
A $20,000 face value STRIPS is currently quoted at 38.642 and
has 8 years to...
asked 45 minutes ago -
The current exchange rate between the Japanese yen and
the US dollar is 120 yen per...
asked 47 minutes ago -
Marla’s Massages and More bought a special massage table two
years ago for $9,300. At the...
asked 54 minutes ago