Real Estate Math
A Washington investor purchases a property for $1,100,000 with 35% down and finances the rest at 6% interest-only. Annual interest payment is:
A$42,900✓ Correct
B$44,100
C$46,200
D$66,000
Explanation
Loan = $1,100,000 × 65% = $715,000. Annual interest = $715,000 × 6% = $42,900. To solve this, multiply the relevant values: $1,100,000 at 35%.. The correct answer is $42,900.. This is a common calculation on the Washington real estate exam.
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