Arizona Real Estate License Practice Exam

Question: 1 / 1505

Kim bought two lots for $205,000. If Lot A cost 40% less than Lot B, what did she pay for Lot B?

$119,583

$128,125

To determine how much Kim paid for Lot B, we first define the prices of the two lots in relation to each other based on the information given. Let's call the price of Lot B "x." Since Lot A costs 40% less than Lot B, we can express the price of Lot A as "x - 0.40x," which simplifies to "0.60x."

Now we can establish an equation based on the total cost of both lots:

- Total cost of Lot A and Lot B = Price of Lot A + Price of Lot B

- Therefore, 0.60x + x = $205,000.

Combining the terms gives:

- 1.60x = $205,000.

To find the value of x (the price of Lot B), we divide both sides of the equation by 1.60:

- x = $205,000 / 1.60

- x = $128,125.

This calculation shows that Lot B's price is indeed $128,125. The problem's structure requires understanding how to translate proportions into algebraic equations, a vital skill in real estate calculations regarding costs and values. This method reveals the correct price for Lot B, confirming that Kim

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$138,500

$143,500

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