Question

A contract calls for the buyer to pay $165,000 for a house and one acre of land, plus $5,000 for each additional acre of land. The total acreage of the property is 4.3 acres. What is the total amount paid for the house and the land?

Answer 1

Answer: $181,500

Explanation:

If amount paid for house and one acre of land = 165,000

Then, additional acre of land is 4.3 acres- 1 acre of land purchased with the house = 3.3 acres of land

If additional acre goes for 5,000 per acre

1 acre = 5,000

3.3 acres = 5,000 x 3.3 = $16,500

Total amount paid for the land and the land

= cost of house and land + cost of additional 3.3 acres of land

= 165,000 + 16,500

= $181,500