Real Estate Math

An Iowa commercial building sells for $1,200,000. The buyer pays 30% down. What is the loan amount?

A$720,000
B$800,000
C$840,000✓ Correct
D$880,000

Explanation

Loan amount = $1,200,000 × (1 − 30%) = $1,200,000 × 70% = $840,000. To solve this, multiply the relevant values: $1,200,000 at 30%..

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