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Cerrena [4.2K]
3 years ago
13

A lender is charging 2.75 points on a $275,000 loan. The borrower must therefore pay the lender an advance amount of $11,000? $6

,188? $7,563? $2,750?
Mathematics
2 answers:
icang [17]3 years ago
4 0
A "point" is 1%, so the amount the lender is charging is
  2.75% * $275,000 = $7,652.50
  ≈ $7653
VLD [36.1K]3 years ago
3 0

It says lender is charging 2.75 points on a loan of $275,000.

we know that

1 point = 1%

So 2.75 points = 2.75 %


It means we have to find 2.75% of $275,000

or 2.75% * 275,000

or 0,0275 * 275,000

= 7562.5

≈ $7563

Hence , the borrower must therefore pay the lender an advance amount of $7563.

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