Question

Carly sold land that she purchased 10 years ago for $3,000. The selling price of the land was $7,000 and Carly paid broker's fees of $420. When she originally purchased the land, she paid $1,000 to clear some of the brush in order to make a walking path down to a nearby lake. In the ten years since the purchase, Carly paid $200 per year to keep the path maintained. Carly's amount realized on the sale was $ _______.

Answer 1

Carly's amount realized on the sale was $580

Step-by-step explanation:

Price purchased $3,000

Selling price $7,000

Broker's fees $420

Clear brushes $1,000

Maintained per year $200, in ten years 2000

Amount realized=Selling price-Price purchased-Broker's fees-Clear brushes-Maintained =

Amount realized=$7,000-$3,000-$420-$1,000-$2000=$580

Amount realized=$580