header bg

Question:

Escrow closes on the 16th day of February (28 days). The seller receives $500 in rent for the month of February. The seller ____

A owes the buyer $250.
Explaination

Remember, escrow calculates a month as 30 days, as stated in Question 2 so disregard the reference to the literal number of days in the month. The 16th day of the month is first day of the second half of the month and thus the seller owes the buyer precisely half of $500.