Real Estate Math

A home in Edmond, Oklahoma was purchased for $320,000 and sold three years later for $368,000. What was the percentage increase in value?

A12.5%
B15%✓ Correct
C18%
D10%

Explanation

Percentage increase = (Sale Price − Purchase Price) ÷ Purchase Price × 100. ($368,000 − $320,000) ÷ $320,000 × 100 = $48,000 ÷ $320,000 × 100 = 15%.

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