Real Estate Math

A Hawaii property has a mortgage balance of $320,000 at 7% annual interest. What is the daily interest accrual (for a 365-day year)?

AA. $61.37✓ Correct
BB. $74.52
CC. $6.137
DD. $2,240

Explanation

Daily interest = Principal × Annual Rate / 365 = $320,000 × 0.07 / 365 = $22,400 / 365 = $61.

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