Real Estate Math

A Wyoming buyer obtains a $200,000 mortgage at 7% annual interest. What is the first month's interest payment?

A$1,166.67✓ Correct
B$14,000
C$583.33
D$1,400

Explanation

Monthly interest = $200,000 × (7% ÷ 12) = $200,000 × 0.005833 = $1,166.67. To solve this, multiply the relevant values: $200,000 at 7%.. The correct answer is $1,166.67.. This is a common calculation on the Wyoming real estate exam.

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