Homes & Interiors ©2007

Richie and Marcy are comparing the costs of renting an apartment to the costs of buying a home. They have listed the major costs for each. Use the table to answer the questions below.

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1			How much will Richie and Marcy save in insurance per month if they rent instead of buy?
			A)	$5
			B)	$10
			C)	$15
			D)	$25
2			Which initial costs are the same for renting and buying?
			A)	Application fee
			B)	Application fee and credit check fee
			C)	Credit check fee
			D)	Down payment
3			Which continuous costs are the same for both renting and buying?
			A)	Rent and mortgage
			B)	Taxes and insurance
			C)	Insurance
			D)	Utilities
4			How much will it cost for Richie and Marcy's monthly expenses if they decide to rent?
			A)	$1,025
			B)	$1,065
			C)	$1,550 plus maintenance costs
			D)	$1,690 plus maintenance costs
5			How much will it cost for Richie and Marcy's monthly expenses if they decide to buy?
			A)	$1,025
			B)	$1,065
			C)	$1,550 plus maintenance costs
			D)	$1,690 plus maintenance costs
6			How much more is a monthly mortgage payment than monthly rent?
			A)	$200
			B)	$400
			C)	$800
			D)	It is not more, it is less.
7			If Richie and Marcy rent, what are their initial expenses?
			A)	$600
			B)	$750
			C)	$880
			D)	$930
8			How much would it cost Richie and Marcy to rent for two years including initial expenses?
			A)	$1,995
			B)	$23,940
			C)	$25,560
			D)	$26,490
9			How much would it cost Richie and Marcy to buy a home for two years including initial expenses?
			A)	$40,560 plus down payment
			B)	$45,450 plus maintenance and down payment
			C)	$45,560
			D)	$40,560
10			How much would the down payment be if the house costs $180,000?
			A)	$18,000
			B)	$15,000
			C)	$14,500
			D)	$1,800