Unit 6 Flashcard 2 Bell Ringer

Front

What is the back-end ratio in mortgage calculations?

Back

The back-end ratio is a measure of a borrower's total monthly debt payments divided by their gross monthly income, expressed as a percentage. It includes all debt obligations such as mortgage payments, car loans, and credit card bills.

Tags

CCSS.7.RP.A.3

Front

How do you calculate the back-end ratio?

Back

To calculate the back-end ratio, add up all monthly debt payments and divide by the gross monthly income. Multiply the result by 100 to get a percentage.

Tags

CCSS.6.RP.A.3B

Front

What is the front-end ratio in mortgage calculations?

Back

The front-end ratio is a measure of a borrower's housing expenses (including mortgage payments, property taxes, and insurance) divided by their gross monthly income, expressed as a percentage.

Tags

CCSS.7.RP.A.3

Front

How do you calculate the front-end ratio?

Back

To calculate the front-end ratio, add up all housing-related expenses and divide by the gross monthly income. Multiply the result by 100 to get a percentage.

Tags

CCSS.6.RP.A.3B

Front

What is the formula for calculating area?

Back

Area = Length x Width. For irregular shapes, the area can be calculated using various geometric formulas or integration.

Tags

CCSS.3.MD.C.7B

CCSS.4.MD.A.3

Front

What is a scale in floor plans?

Back

A scale is a ratio that represents the relationship between the dimensions of a drawing and the actual dimensions of the object. For example, 1/2 inch = 1 foot means that every 1/2 inch on the drawing represents 1 foot in reality.

Tags

CCSS.7.G.A.1

Front

How do you convert feet to inches using a scale?

Back

To convert feet to inches using a scale, multiply the length in feet by the scale factor. For example, a room that is 26 feet long at a scale of 1/2 inch = 1 foot would be 26 x 0.5 = 13 inches on the floor plan.

Tags

CCSS.7.G.A.1

Front

What is the significance of APR in mortgages?

Back

APR (Annual Percentage Rate) represents the yearly cost of borrowing, including interest and fees, expressed as a percentage. It helps borrowers understand the true cost of a loan.

Tags

CCSS.6.RP.A.3C

Front

How do you calculate the interest portion of a mortgage payment?

Back

To calculate the interest portion of a mortgage payment, multiply the remaining loan balance by the monthly interest rate (annual rate divided by 12).

Tags

CCSS.HSF-IF.C.8B

Front

What is homeowners insurance?

Back

Homeowners insurance is a type of property insurance that covers losses and damages to an individual's home and assets in the home. It typically includes coverage for theft, fire, and certain natural disasters.

Tags

CCSS.RI.11-12.3

CCSS.RI.11-12.5

CCSS.RI.8.5

CCSS.RI.9-10.3

CCSS.RI.9-10.5