George and Annette are refinancing their home. They're borrowing [tex]$267,500 at a 5%
interest rate, and their lender is charging them a flat commitment fee of $[/tex]
1,500. They'll
pay [tex]$6,600 in closing costs. Whether they close or not, George and Annette will
loan commitment fee.
pay
a
$[/tex]0
[tex]$13,425
$[/tex]1,500
$6,600