Question

A house sells for $160,000 and the buyer makes a 12% down payment. Determine the down payment amount and the amount financed.

Answer 1

We are given that a down payment of 12% from a total price of $160000 was made. To determine the amount paid we use the following relationship:

$160000\times\frac{12}{100}$

Solving the operations:

$160000\times\frac{12}{100}=19200$

Therefore, the down payment was $19200.

The amount financed is the remaining amount, that we subtract the down payment from the original price:

$160000-19200=140800$

Therefore, the amount financed was $140800