Tina has to pay 4 percent of the purchase price toward closing costs for her mortgage. If the purchase price is $275,000, what is the closing cost amount?

Question

anonymous · Answer

Okay, word problems can always be pesky, so let's get this into an equation. Any ideas on how to do that?

anonymous · Answer

4% of 275,000

anonymous · Answer

?

anonymous · Answer

Sweet! Yep. Okay, any idea on how to figure out 4% of 275,000?

anonymous · Answer

4 times 275,000 ?

anonymous · Answer

Not quite. That would be a pretty big number.

Let's put it into a ratio.

$$\frac{ 4 }{ 100 } = \frac{ x }{ 275,000 }$$

anonymous · Answer

I meant multiply 4 by 275,000

tamtoan · Answer

4% = 4/100 so 4% of 275000 = (4/100) x 275000 = 4x2750  (since 275000/100 drop 2 zeros)

anonymous · Answer

and that would give you the percent right?

anonymous · Answer

Okay, so here 4% is represented as 4 over 100 (since percents are over one hundred.)

So what you can do is do:
4 times 275,000 and take the answer and divide it by 100 (percent.)

anonymous · Answer

Yep!

anonymous · Answer

110,000

anonymous · Answer

Not quite. You've got too many zeroes.

anonymous · Answer

11,000