Question

What percentage of loss would the seller have if he paid $18,000 for a vacant lot, built a home on the lot that cost $145,000, and then sold the property for $153,000? Round your answer to the nearest percent.

Answer 1

Answer:

6.13%

Explanation:

Calculation for percentage of loss

First step is to calculate the total cost

Total cost =18,000+145,000

Total cost=163,000

Second step is to calculate the loss=

Loss=153,000-163,000

Loss=-$10,000

Now let calculate the percentage of loss

Percentage of loss=$10,000 ÷ $163,000

Percentage of loss=0.0613*100

Percentage of loss=6.13%

Therefore percentage of loss will be 6.13%