Patrick invested $55,000 and borrowed $105,000 for an investment worth $160,000.What was the loan-to-value ratio?

Question

Quizplus · Accepted Answer

The loan-to-value ratio is the amount of the loan divided by the value of the investment. In this case, the loan amount is $105,000 and the value of the investment is $160,000. So, the loan-to-value ratio is 105,000/160,000 = 0.6562 or 66 percent (rounded to the nearest whole percent).

Patrick Invested $55,000 and Borrowed $105,000 for an Investment Worth