Question

Calculate the down payment percent using the following information:

Purchase price: $281,700.00
Closing costs: 2.4% of purchase price
Total move-in costs: $57,466.80
18.0%
20.4%
21.0%
23.5%​

Answer 1

Answer: Choice A

18.0% which is the same as 18%

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Work Shown:

p = purchase price = $281,700

c = closing costs

c = 2.4% of purchase price

c = 0.024p

c = 0.024*(281,700)

c = 6,760.80

d = unknown down payment amount

m = total move in costs = $57,466.80

m = d + c

d = m - c

d = 57,466.80 - 6,760.80

d = 50,706

down payment percent = d/p = (50,706)/(281,700) = 0.18 = 18%

18% of the purchase price is the down payment.