Carlos Owns a Home That Was Recently Appraised for $132,000

question 81

Multiple Choice

Carlos owns a home that was recently appraised for $132,000. The balance on the existing mortgage is $73,700. If Carlos's bank is willing to loan up to 75% of the appraised value, find the potential amount of credit available on a home equity loan.

• A) $69,300.00
• B) $133,000.00
• C) $25,300.00
• D) $52,700.00

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Definitions:

Externality

A consequence of an economic activity experienced by unrelated third parties; can be either positive or negative.

Resource Dependency

A theory in organizational studies that describes how external resources dictate the behaviors and strategies of organizations.

External Constituencies

Groups or individuals outside an organization that are affected by its decisions and actions, such as customers, suppliers, and the community.

Failure Theories

A set of theories explaining the conditions under which materials or components fail due to stress, fatigue, or other factors.