Real Estate Math

A Hawaii property purchased for $500,000 has appreciated 25%. The seller pays a 5% commission and $8,000 in other closing costs. What is the seller's net profit?

A$85,750.00000000✓ Correct
BB. $92,750
CC. $86,750
DD. $98,750

Explanation

Sale price = $500,000 × 1.25 = $625,000.

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