Real Estate Math

A North Dakota investor purchases a property for $400,000 and sells it three years later for $460,000. What was the total dollar appreciation?

A$45,000
B$60,000✓ Correct
C$70,000
D$80,000

Explanation

Appreciation = Sale price − Purchase price = $460,000 − $400,000 = $60,000. Using the values given ($400,000, $460,000), apply the appropriate formula.. The correct answer is $60,000.. This is a common calculation on the North Dakota real estate exam.

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