Solve the problem.
-Part of the Housing Price Index for 1999 is given below: $$\begin{array} { l | c | c | c | c }
\text { City } & \text { Palo Alto, CA } & \text { Sioux City, IA } & \text { Boston, MA } & \text { Spokane, WA } \
\hline \text { Index } & 365 & 47 & 182 & 78
\end{array}$$ An academic computer expert is leaving Boston to work in the high tech area of Palo Alto. What should she expect to
Pay, to the nearest dollar, for a house comparable to her $310,000 Boston home?
A)$621,703
B)$492,000
C)$154,575
D)$675,000

Question

Solve the problem.
-Part of the Housing Price Index for 1999 is given below: $$\begin{array} { l | c | c | c | c } 
\text { City } & \text { Palo Alto, CA } & \text { Sioux City, IA } & \text { Boston, MA } & \text { Spokane, WA } \
\hline \text { Index } & 365 & 47 & 182 & 78
\end{array}$$ An academic computer expert is leaving Boston to work in the high tech area of Palo Alto. What should she expect to
Pay, to the nearest dollar, for a house comparable to her $310,000 Boston home?
A)$621,703
B)$492,000
C)$154,575
D)$675,000

Quizplus · Accepted Answer

To find the equivalent price of the Boston home in Palo Alto, we use the ratio of the Housing Price Index values for Palo Alto and Boston. The index for Palo Alto is 365, and for Boston, it is 182. The price of the Boston home is $310,000. The calculation is as follows: $$310,000 \times \frac{365}{182} \approx 621,703$$.

Solve the Problem An Academic Computer Expert Is Leaving Boston to Work in 1999