Real Estate Math

A buyer in Nevada gets a 30-year mortgage at 7% interest on a $320,000 loan. The monthly payment is approximately $2,129. How much interest is paid in the first month?

A$1,867✓ Correct
B$2,129
C$746
D$1,120

Explanation

First month's interest = $320,000 × (0.07 ÷ 12) = $320,000 × 0.

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