A builder estimates that the cost of building a house is $132,000. If he adds 20% for profit, for what price will he sell the house? (must show work)
What is 1.20*132,000?
To find the price at which the builder will sell the house, we need to add 20% (or 0.20) of the estimated cost to the estimated cost itself.
1. Start with the estimated cost of building the house: $132,000.
2. Calculate 20% of the estimated cost: $132,000 * 0.20 = $26,400.
3. Add the profit to the estimated cost: $132,000 + $26,400 = $158,400.
Therefore, the builder will sell the house for $158,400.