Finance
A Maine lender charges 2 'points' on a $175,000 mortgage. The dollar amount of the points is:
A$875
B$1,750
C$3,500✓ Correct
D$5,250
Explanation
1 point = 1% of the loan amount. 2 points = 2% × $175,000 = $3,500. Using the values given ($175,000), apply the appropriate formula.. The correct answer is $3,500.. This is a common calculation on the Maine real estate exam.
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