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Question 1   Multiple Choice (1.0000 points)
  Question: The Loomis Friendly Savings and Loan offers to fund you a loan of $55,000 for 30 years with monthly payments at a nominal interest rate of 10.25%. If they charge 2.5 points, what is the Annual Percentage Rate (APR) that they are really charging?
 
    10%
10.25%
10.50%
10.56%
None of the above
 

 
Question 2   Multiple Choice (1.0000 points)
  Question: The Department of Veterans Affairs will guarantee loans to eligible veterans up to what percentage of a property's value?
 
    100 percent
97 percent
97 percent of the first $50,000 and 95 percent for higher amounts.
80 percent.
100 percent of the first $27,500 only.
 

 
Question 3   Multiple Choice (1.0000 points)
  Question: What is the amount advanced to the borrower on a $100,000 mortgage loan paid monthly at 12% nominal interest for 30 years if the lender charges 4 points?
 
    1,028.61
$104,000
$100,000
96,000
none of the above
 

 
Question 4   Multiple Choice (1.0000 points)
  Question: What is the annual debt service on a 30 year 11% mortgage of $92,000 if the loan is amortized monthly?
 
    $10,120
$13,187
$13,514
none of the above
 

 
Question 5   Multiple Choice (1.0000 points)
  Question: What is the correct annual sinking fund reserve for replacements for a roof estimated to cost $20,000 in 15 years if the sinking fund account pays 8% per annum?
 
    $1,333
$737
$2,337
$6,305