Question

You are comparing two properties for lease. The first, A, is all-inclusive at $2,250 per month. The second, B, is $1,800 per month with average utilities of $150, common areas charges of $120 per month, and quarterly real estate taxes of $1,200. What is the dollar difference between A & B?

a) $220

b) $270

c) $300

d) $420

Answer 1

the dollar difference between A & B is a) $220

Explanation:

given information:

for A:

All included $2250/month

A = $2250

for B:

rent = $1800/month,

utilities = $150/month,

common area charges = $120/month

real estate taxes = $1200/quarterly = 400

B = $1800+$150+$120+$400

= $2470

so, the difference between A and B is

difference = B - A

= $2470 - $2250

= $220

a) $220

Answer 2

a) $220

Explanation:

We must calculate the price of each

A, you mention it, it's a total of 2250.

B, in this case we have to add up the expenses the quarterly value is every three months, therefore, to calculate the value of one month we must divide by 3:

1800 + 150 + 120 + 1200/3 = 2470

the quarterly value is every three months, therefore, to calculate the value of a single month we must divide by 3.

Now the difference is:

2470 - 2250 = 220

therefore the answer is a) $220