Question

The closing costs for Alicia's mortgage will amount to 5 percent of the purchase price. If the purchase price is $175,000, how much are the closing costs?

Answer 1

5 % = 0.05
$175,000 · 0.05 = $8,750
Answer: The closing costs are $8,750

Answer 2

Answer:

$8,750.

Step-by-step explanation:

We have been given that closing costs for Alicia's mortgage will amount to 5 percent of the purchase price. The purchase price is $175,000.

To find the amount of closing costs, we need to figure out 5% of $175,000.

$\text{The amount of closing costs}=\frac{5}{100}\times \ 175,000$

$\text{The amount of closing costs}=0.05\times \ 175,000$

$\text{The amount of closing costs}=\ 8,750$

Therefore, the closing costs are $8,750.