Question

Franklin is purchasing a home for $82,107 and is financing 80% of it. The documentary stamp tax on the deed in his state is $0.70 per $100 or portion thereof. How much will he pay for the documentary stamp tax?

Answer 1

Answer: $459.79

Explanation:

Given: Franklin is purchasing a home for $82,107 and is financing 80% of it.

The purchasing amount of home = $82,107

Amount of finance =
`0.8*82107=65685.6`

The documentary stamp tax on the deed in his state is $0.70 per $100 or portion thereof.

The documentary tax=
`65685.6*(0.7)/(100)=\ $459.79`