Hugh Akston Took Out a 30-Year Mortgage with an EAR

question 15

Multiple Choice

Hugh Akston took out a 30-year mortgage with an EAR of 5.9%.If Hugh borrowed $300,000 to buy his home,then his monthly payment will be closest to:

• A)$835.
• B)$1750.
• C)$1780.
• D)$10,240.

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Definitions:

Convenience Sample

A non-random selection of participants from a population based on ease of access and availability, often used in exploratory research where representativeness is not a primary concern.

Probability Sample

A sampling method in which each member of the population has a known, non-zero chance of being selected, allowing for statistical inference to the larger population.

Sampling Frame

The list or database from which a statistical sample is drawn for a research study, encompassing all the members of the population being studied.

Representative Sample

A subset of a population carefully chosen to accurately reflect the characteristics of the larger group for the purposes of research or analysis.