Real Estate Math

A Wisconsin investor borrowed $350,000 at 6.5% interest only. What is the annual interest cost?

A$20,500
B$22,750✓ Correct
C$24,000
D$25,500

Explanation

Annual interest = $350,000 × 6.5% = $22,750. To solve this, multiply the relevant values: $350,000 at 6.5%.. The correct answer is $22,750.. This is a common calculation on the Wisconsin real estate exam.

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