Real Estate Math

A buyer's closing costs in Louisiana total $8,500. This represents 2.5% of the loan amount. What is the loan amount?

A$320,000
B$340,000✓ Correct
C$350,000
D$360,000

Explanation

Loan amount = $8,500 ÷ 2.5% = $8,500 ÷ 0.

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