To Buy a Home, Lois Pays Part of the Purchase

question 15

Multiple Choice

To buy a home, Lois pays part of the purchase price up front in cash and borrows the rest of the funds from Members Credit Union. The part of the purchase price paid up front is

• A)a down payment.
• B)a short sale.
• C)a prepayment penalty.
• D)a mortgage.

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Definitions:

Gas Hydrate

An icelike solid mixture of water and a natural gas, usually methane.

Coal-bed Methane

A type of natural gas extracted from coal beds, often used for heating and generating electricity.

Oil Shale

A kerogen-bearing, thinly layered, fine-grained sedimentary rock that yields liquid or gaseous hydrocarbons upon heating and distillation.

Geophysical Surveys

Techniques used to study the Earth's subsurface by measuring physical properties like magnetic fields, gravity, and electrical conductivity.