Real Estate Math
A 6% mortgage on a $200,000 loan has an annual interest cost of $12,000 in the first year. What is the approximate monthly interest?
A$800
B$900
C$1,000✓ Correct
D$1,200
Explanation
Monthly interest = $12,000 / 12 = $1,000. To solve this, multiply the relevant values: $200,000 and $12,000 at 6%.. The correct answer is $1,000.. This is a common calculation on the Ohio real estate exam.
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