Tuesday, May 14, 2013

Chapter 13 Qs.

Lulu Carrizales

  1. The size of the loan depends on the price of the home and:
    a.  GPM
    b.  Points
    c.  the down payment amount
    d.  none of the above
  2. The initial fee charged by the lender each equaling 1% are:
    a.  Impact fees
    b.  Points
    c.  both
    d.  neither
  3. The _____ is the lender's true yield once points and other fees are calculated.
    a.  ARM
    b.  APR
    c.  RAM
    d.  GPM
  4. Origination fees are loan charges used to compensate for putting the loan in place. (T/F)
  5. Negative Amortization is just another term for Amortization.  (T/F)
  6. GPM is best for people who believe their salary will increase every year. (T/F)
  7. RAM converts equity into cash flow (T/F)
  8. RAM is also referred to as a "reverse mortgage" (T/F)

1.  C
2.  B
3.  B
4.  T
5.  F
6.  T
7.  T
8.  T

No comments:

Post a Comment