If a house is worth $600,000 and its owner owes $400,000 on the mortgage,how much equity does the owner have?
A) $0
B) $200,000
C) $400,000
D) $600,000

Name: If a house is worth $600,000 and its owner owes $400,000 on the mortgage,how much equity does the owner have? A) $0 B) $200,000 C) $400,000 D) $600,000
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Quizplus · Accepted Answer

Equity is the difference between the value of the property and the amount owed on the mortgage. Therefore, the owner's equity is $600,000 - $400,000 = $200,000.

If a House Is Worth $600,000 and Its Owner Owes