Real Estate Math

A Wisconsin buyer obtains a $200,000 mortgage at 5.5% for 30 years. If the monthly payment is $1,136, what is the principal portion of the first payment?

A$219✓ Correct
B$250
C$917
D$1,136

Explanation

Monthly interest = $200,000 × 5.5% ÷ 12 = $916.

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