Gary buys a house for $200,000 using $10,000 of his own money and gets a mortgage for the remaining $190,000.If the value of the house increases 7%,what will be the percentage increase in Gary's investment?
A) 25%
B) 7%
C) 14%
D) 70%
E) 140%

Question

Quizplus · Accepted Answer

Gary's initial investment is $10,000. A 7% increase in the house value means the house is now worth $214,000, a $14,000 increase. The percentage increase in Gary's investment is ($14,000/$10,000) * 100% = 140%.

Gary Buys a House for $200,000 Using $10,000 of His