Question: Question 4 25 pts A borrower is purchasing a property for $500,000 and can choose between two possible loan alternatives. The first is a 90%

Question 4 25 pts A borrower is purchasing a property for $500,000 and can choose between two possible loan alternatives. The first is a 90% loan for 25 years at 4% interest with monthly payments of $2,375.27 and 1 point charged. The second mortgage is a 95% loan for 25 years at 5% interest with monthly payments of $2,776.80 and 1 point charged. Assuming the loan will be held to maturity, what is the incremental cost of borrowing the extra money? O 19.31% none of these O 19.10% O 9.50% Previous No new data to save. Last checked at 8:38pm Submit Quiz Questions 66.F Q Search Clear

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