The Value of Caroline's House Decreased from $75,500 to $69,500

question 313

Multiple Choice

The value of Caroline's house decreased from $75,500 to $69,500 when the area's major employer closed the local plant and moved to another state. Find the percent decrease in the value of her house. Round to the nearest tenth of a percent if necessary.

• A) 8%
• B) 6%
• C) 9%
• D) 7%
• E) 1%

---

Definitions:

Diagnosis-Related Group

A system to classify hospital cases into groups for the purposes of payment and analysis.

Insurance Plan

An insurance plan refers to a contract between an individual and an insurance company, wherein the company agrees to compensate the individual for specified losses, damages, illness, or death in return for payment of a premium.

Medicare Payroll Tax

A tax collected from both employees and employers to fund the Medicare program, which provides health insurance to individuals aged 65 and older and to some younger people with disabilities.

Capital Gains Tax

A tax on the profit realized from the sale of a non-inventory asset that was greater than the purchase price, typically stocks, bonds, precious metals, and property.