Real Estate Math

A NJ buyer obtains a mortgage for $340,000 at 7% annual interest. What is the first month's interest payment?

A$1,983.33✓ Correct
B$2,380.00
C$1,700.00
D$2,833.33

Explanation

$340,000 × 0.07 = $23,800 annual interest; $23,800 ÷ 12 = $1,983.

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