Real Estate Math

An investor purchases North Dakota farmland for $480,000 and sells it two years later for $552,000. What is the percentage gain?

A12%
B13%
C14%
D15%✓ Correct

Explanation

Gain = $552,000 − $480,000 = $72,000. Percentage gain = $72,000 / $480,000 = 0.15 = 15%. Using the values given ($480,000, $552,000), apply the appropriate formula.. The correct answer is 15%.. This is a common calculation on the North Dakota real estate exam.

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