The Type of Mortgage That Will Most Likely Need to Be

question 98

Multiple Choice

The type of mortgage that will most likely need to be refinanced is the ____ mortgage.

• A)fixed-rate
• B)adjustable-rate
• C)balloon-payment
• D)graduated-payment
• E)growing-equity

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Definitions:

Amortization

The process of gradually writing off the initial cost of an intangible asset over a period of time.

Legal Life

The duration for which a legal entity, patent, copyright, or other legal protection is valid or enforceable.

Depletion Expense

The allocation of the cost of natural resources over their productive life, typically used in industries like mining and forestry.

Drilling Rights

Legal permissions granted to an individual or company to explore and extract minerals, oil, or gas from the land.