A comparable sold six months ago for $198,000 in a market rising 0.5% per month. Expressed in dollars, what market conditions adjustment applies?
Correct Answer
B) +$5,940
Why this is correct: Calculation: 6 × 0.5% = 3%; $198,000 × 0.03 = $5,940, added because the market has risen since the sale. Why the other choices are wrong: +$11,880 uses 1% per month rather than the stated 0.5%; +$990 applies 0.5% once instead of once per month; -$5,940 has the right size and the wrong sign.
Why This Is the Correct Answer
Why this is correct: Calculation: 6 × 0.5% = 3%; $198,000 × 0.03 = $5,940, added because the market has risen since the sale. Why the other choices are wrong: +$11,880 uses 1% per month rather than the stated 0.5%; +$990 applies 0.5% once instead of once per month; -$5,940 has the right size and the wrong sign.
More Sales Comparison Questions
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