Introduction ........................................................................................................................ 2
About This Handbook..................................................................................................... 2
Contents.............................................................................................................................. 4
Real Estate .......................................................................................................................... 7
Refinancing..................................................................................................................... 7
Wrap-Around Mortgage ................................................................................................. 8
Before-Tax Cash Flows ............................................................................................ 12
After-Tax Cash Flows............................................................................................... 14
Lending............................................................................................................................. 24
Variable Rate Mortgages .............................................................................................. 36
Skipped Payments......................................................................................................... 38
Savings ............................................................................................................................. 40
Investment Analysis.......................................................................................................... 49
Lease vs. Purchase ........................................................................................................ 49
Break-Even Analysis .................................................................................................... 53
Operating Leverage ...................................................................................................... 59
Profit and Loss Analysis ............................................................................................... 61
Securities and Options ...................................................................................................... 65
After-Tax Yield ............................................................................................................ 65
Discounted Notes.......................................................................................................... 67
Contents
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