The home that you are interested in purchasing is listed at $85,000. In order to get financing, you have to place a 5% down payment. From the given information, determine the amount of the down payment. a. $42,500 c. $425 b. $4,250 d. $85,000
This is the concept of arithmetic. Given that 5% down payment is required for one to purchase a home of $85,000, amount of money required will be: Amount=(percentage down payment)×(total cost of the house) percentage down payment=5% total cost of the house=$85000 Amount=5/100×85000 =$4250 The answer is b] $4250
