Question

Rita and Alfred Johnson offered $185,000 for a home that had been priced at $190,000. After some negotiating, the Johnsons and the seller agreed on a selling price of $186,500. What is the amount of the mortgage if they make a 20% down payment?

Answer 1

$149,200

Explanation:

The amount of the mortgage will be the agreed price less the down payment:

$186,500 -20%×186,500 = $186,500×0.80 = $149,200