Real Estate Math

An Arizona homeowner borrows $85,000 for home improvements at 8% interest. What is the monthly interest in the first month?

A$566.67✓ Correct
B$680.00
C$850.00
D$425.00

Explanation

Monthly interest = $85,000 × (8% ÷ 12) = $85,000 × 0.006667 = $566.

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