Over the Past 10 Years You Have Paid Your Mortgage

question 9

Multiple Choice

Over the past 10 years you have paid your mortgage principal down from $250 000 to ?$203 000 and your house has a market value went from $330 000 to $310 000.How much of a home equity line of credit could you receive if you applied now?

• A)$61 000.
• B)$45 000.
• C)$85 600.
• D)$27 000.

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Definitions:

Binomial Populations

Populations that follow a binomial distribution, characterized by only two possible outcomes for each trial.

Standard Error

The estimated standard deviation of a sampling distribution of a statistic, often the mean, indicating the variability of the estimate.

Sample Sizes

The number of units or observations included in a sample drawn from a population; crucial for estimating population parameters with a certain level of precision.

Binomial Populations

Populations where the outcomes for each member can be classified into one of two categories, often conceptualized as "success" or "failure."