Real Estate Math

A Michigan property has 1.5 acres of land worth $40,000 per acre and a building worth $180,000. What is the total property value?

A$220,000
B$240,000✓ Correct
C$260,000
D$200,000

Explanation

Land value = 1.5 acres x $40,000 = $60,000. Total value = $60,000 + $180,000 = $240,000. Using the values given ($40,000, $180,000), apply the appropriate formula.. The correct answer is $240,000.. This is a common calculation on the Michigan real estate exam.

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