Ann Nielson Is Closing on Her Purchase of a Townhome

Multiple Choice

Ann Nielson is closing on her purchase of a townhome. Her annual property taxes are $3,600. The taxes are due on April 30^th of each year. Ann is closing on July 15^th. Her first full payment on her mortgage will be on September 1^st. What is the maximum amount that Ann can be required to pay into escrow for the taxes?

A) $600 or two months' taxes
B) $600 or two months' taxes plus two months or $1,200
C) $1,800
D) $3,600