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Sales ComparisonEASY16.4% of exam

A four-bedroom comparable sold for $355,000 and an otherwise identical three-bedroom comparable sold for $340,000. The subject has three bedrooms. What is the adjusted price of the four-bedroom comparable?

Correct Answer

C) $340,000

Why this is correct: the pair indicates $15,000 for the fourth bedroom, and the comparable is superior, so it is adjusted down. Calculation: $355,000 - $15,000 = $340,000. Why the other choices are wrong: $370,000 adjusts in the wrong direction; $355,000 leaves the difference unadjusted; $325,000 deducts $30,000, which is twice what the pair supports.

Answer Options
A
$325,000
B
$370,000
C
$340,000
D
$355,000

Why This Is the Correct Answer

Why this is correct: the pair indicates $15,000 for the fourth bedroom, and the comparable is superior, so it is adjusted down. Calculation: $355,000 - $15,000 = $340,000. Why the other choices are wrong: $370,000 adjusts in the wrong direction; $355,000 leaves the difference unadjusted; $325,000 deducts $30,000, which is twice what the pair supports.

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