Finance
A loan-to-value ratio (LTV) of 80% on a $300,000 purchase means the loan amount is:
A$300,000
B$240,000✓ Correct
C$180,000
D$260,000
Explanation
LTV = Loan ÷ Value. Loan = $300,000 × 80% = $240,000. To solve this, multiply the relevant values: $300,000 at 80%.. The correct answer is $240,000.. This is a common calculation on the Alabama real estate exam.
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