Maryland Home Improvement PSI Practice Exam

What percentage ownership does Moore have if the total property price is $120,000 and Davis and Hernandez contributed differing amounts?

1. 33.3%

2. 36.0%

3. 41.2%

4. 45.0%

The correct answer is: 41.2%

To determine Moore's percentage ownership of the property, it is necessary to consider the amounts contributed by Moore, Davis, and Hernandez towards the total property price of $120,000. Percentage ownership is calculated by dividing the amount each individual contributed by the total property price and then multiplying by 100 to convert it into a percentage. If Moore's contribution, when calculated against the total price, results in 41.2%, this indicates that Moore holds a significant stake in the property relative to the others. The calculation can be depicted as follows: If Moore contributed $49,440, then: \[ \text{Percentage ownership} = \left( \frac{\text{Moore's contribution}}{\text{Total property price}} \right) \times 100 \] \[ = \left( \frac{49,440}{120,000} \right) \times 100 \] \[ = 41.2\% \] This calculation shows how Moore's financial investment corresponds to 41.2% of the total property value, creating a clear picture of his ownership interest in the property. The correct answer reflects Moore's investment percentage accurately based on the contributions made by all parties involved.