At what price must Jane's house sell in order to net $150,000 after paying 6% commission and $4,200 in closing costs?

At what price must Jane's house sell in order to net $150,000 after paying 6% commission and $4,200 in closing costs?

• A. $159,574.47
• B. $163,452
• C. $164,042.55
• D. $167,455

Answer: (C)

To determine the selling price necessary for Jane to net $150,000 after paying a 6% commission and $4,200 in closing costs, we can use the following formula: Let \( P \) be the selling price. First, consider the costs: 1. The commission is 6% of the selling price, which we can express as \( 0.06P \). 2. The closing costs are a fixed amount of $4,200. To find out how much Jane will actually net after these expenses, we can set up the equation: Net amount = Selling price - Commission - Closing costs This can be expressed as: $150,000 = \( P - 0.06P - 4,200 \) By simplifying the equation, we recognize that \( P - 0.06P \) is equivalent to \( 0.94P \): $150,000 = \( 0.94P - 4,200 \) Next, we need to add the closing costs back to the net amount: $150,000 + $4,200 = 0.94P This simplifies to: $154,200 = 0.94P To isolate \( P \),

To determine the selling price necessary for Jane to net $150,000 after paying a 6% commission and $4,200 in closing costs, we can use the following formula:

Let ( P ) be the selling price.

First, consider the costs:

1. The commission is 6% of the selling price, which we can express as ( 0.06P ).

2. The closing costs are a fixed amount of $4,200.

To find out how much Jane will actually net after these expenses, we can set up the equation:

Net amount = Selling price - Commission - Closing costs

This can be expressed as:

$150,000 = ( P - 0.06P - 4,200 )

By simplifying the equation, we recognize that ( P - 0.06P ) is equivalent to ( 0.94P ):

$150,000 = ( 0.94P - 4,200 )

Next, we need to add the closing costs back to the net amount:

$150,000 + $4,200 = 0.94P

This simplifies to:

$154,200 = 0.94P

To isolate ( P ),