Which of the Following Statements Is True Regarding Home Mortgages

question 174

Multiple Choice

Which of the following statements is true regarding home mortgages?

• A)There is a penalty for prepaying a home mortgage.
• B)An advantage of 15-year mortgages is that equity buildup is slower than with 30-year mortgages.
• C)It is generally wise to take a longer repayment period even if you plan to pay off the loan more quickly.
• D)More total interest is paid with a shorter mortgage repayment time.

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Definitions:

Two-way Factor ANOVA

A statistical method used to determine if there are any statistically significant differences between the means of three or more independent groups based on two factors.

Sum of Squares

The sum of the squared deviations of each data point from its mean, a measure used in statistical analysis to quantify variability within a dataset.

P-value

A statistical measure that helps scientists determine the significance of their research results, reflecting the strength of evidence against the null hypothesis.

Significance Level

The probability of rejecting a true null hypothesis in hypothesis testing.