Question: 46-Given the following information, calculate the Effective Borrowing Cost (EBC). Loan amount: $200,000 Term: 30 years Interest rate: 6% Payment: $1,199.10 Discount points: 2 point

46-Given the following information, calculate the Effective Borrowing Cost (EBC).

Loan amount: $200,000

Term: 30 years

Interest rate: 6%

Payment: $1,199.10

Discount points: 2 point

Origination fee: $5,000

Assume the loan is held until the end of year 10.

Group of answer choices

A)7.0%

B)6.7%

C)6.2%

D)7.4%

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