Real Estate Math
A Washington buyer makes a $25,000 earnest money deposit on a $500,000 purchase. What percentage is the earnest money of the purchase price?
A4%
B5%✓ Correct
C6%
D8%
Explanation
Earnest money percentage = $25,000 ÷ $500,000 = 0.05 = 5%. Using the values given ($25,000, $500,000), apply the appropriate formula.. The correct answer is 5%.. This is a common calculation on the Washington real estate exam.
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