Real Estate Math

An Alaska homeowner wants to add a deck that costs $18,000. Studies show improvements of this type return 75% of cost at resale. How much value does the deck add?

A$9,000
B$12,000
C$13,500✓ Correct
D$18,000

Explanation

Added value = Cost × Return rate. $18,000 × 75% = $13,500.

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