Finance

A buyer takes out a $300,000 mortgage at 6% annual interest. What is the first month's interest charge?

A$1,200
B$1,400
C$1,500✓ Correct
D$1,800

Explanation

Monthly interest = $300,000 x (6% / 12) = $300,000 x 0.005 = $1,500 for the first month.

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