The Buyer Normally Pays the Discount Points When a Conventional

question 41

True/False

The buyer normally pays the discount points when a conventional loan is taken out to purchase a residence.

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Definitions:

Accounts Payable

Money owed by a business to its suppliers shown as a liability on the company’s balance sheet.

Cash

Liquid currency and instruments that are readily convertible to known amounts of cash and used to settle debts or buy goods and services.

Fees Earned

Income generated from the provision of services rather than the sale of goods, often recorded as revenue on the income statement.

Accounts Receivable

Funds that clients or customers have yet to pay to a company for products or services already provided.