Questions from General Investment

Q: If nominal GDP was reported at $1,425.68

If nominal GDP was reported at $1,425.68 billion and inflation was 4.3 percent, what is the level of real GDP for the period?

Q: Assume there are 300 million people in the United States, 155

Assume there are 300 million people in the United States, 155 million of whom make up the labor force. If 10 million people are unemployed, what is the unemployment rate?

Q: What is the monthly payment on a 30-year fixed-

What is the monthly payment on a 30-year fixed-rate mortgage if the original balance is $315,000 and the rate is 4.9 percent?

Q: Consider a 30-year, $145,000 mortgage with

Consider a 30-year, $145,000 mortgage with a 6.1 percent interest rate. After eight years, the borrower (the mortgage issuer) pays it off. How much will the lender receive?

Q: Mr. Franklin wants to compute the value of the call option

Mr. Franklin wants to compute the value of the call option using the information in Exhibit 1. Which of the following is closest to his answer? a. $4.78 b. $5.55 c. $11.54

Q: If a mortgage has monthly payments of $1,240,

If a mortgage has monthly payments of $1,240, a life of 30 years, and a rate of 4.5 percent per year, what is the mortgage amount?

Q: A homeowner takes out a $417,000, 30-

A homeowner takes out a $417,000, 30-year fixed-rate mortgage at a rate of 5.2 percent. What are the monthly mortgage payments?

Q: You have decided to buy a house. You can get a

You have decided to buy a house. You can get a mortgage rate of 5.25 percent, and you want your payments to be $1,500 or less. How much can you borrow on a 30-year fixed-rate mortgage?

Q: What is the single monthly mortality assuming the conditional prepayment rate is

What is the single monthly mortality assuming the conditional prepayment rate is 7 percent?

Q: What is the conditional prepayment rate if the single monthly mortality is

What is the conditional prepayment rate if the single monthly mortality is 0.426 percent?