You bought a house with a 30-year mortgage with loan size $500,000 and interest rate 6%. Assuming the total transaction
Posted: Wed May 18, 2022 11:24 pm
You bought a house with a 30-year mortgage with loan size
$500,000 and interest rate 6%. Assuming the total transaction cost
is $4,000 and your marginal income tax rate is 30%.
What is the annual effective cost of this loan after-tax if your
loan will be outstanding for 1 month?
.98%
13.91%
13.67%
11.78%
$500,000 and interest rate 6%. Assuming the total transaction cost
is $4,000 and your marginal income tax rate is 30%.
What is the annual effective cost of this loan after-tax if your
loan will be outstanding for 1 month?
.98%
13.91%
13.67%
11.78%