标题: ERAT [打印本页] 作者: BC_MBA_student 时间: 2011-7-13 13:14 标题: ERAT
Schweser Exam 3 AM session question 34 - they are calculating ERAT - they use an outstanding mortgage balance of 32,000,000. Anyone know how this came about?
If u haven't taken the exam, the example provided in the book is on page 18 in book 4. (** less outstanding mortgage balance of 409,799)
I know its a pretty simple calc but i cant figure it out for anything.
On a side note this freakin exam kicked me in the gonads.作者: Pegasus2008 时间: 2011-7-13 13:14
It kicked me in the (female version of) gonads too!
I think it's 32,000,000 because the debt service is interest only - no principal payments, thus, the outstanding mortgage at the end is the same as beginning (80% of 40M - 32M)作者: ninja1024 时间: 2011-7-13 13:14
