What is the first month's interest on a $250,000 amortized loan at a 7% interest rate?

To calculate the first month's interest on a $250,000 amortized loan at a 7% interest rate, you need to use the formula for monthly interest, which is based on the loan amount and the annual interest rate.

First, you take the loan amount of $250,000 and multiply it by the annual interest rate of 7% (expressed as a decimal, this is 0.07). This gives you the total annual interest:

$250,000 x 0.07 = $17,500.

Next, to find the monthly interest, you divide the annual interest by 12 (the number of months in a year):

$17,500 ÷ 12 = $1,458.33.

Since the question typically rounds to the nearest dollar, the first month's interest would be rounded to $1,458.

This calculation shows that the correct choice accurately reflects the monthly interest payment for the loan under the specified terms.