The Owner Listed a Property for 140% More Than She

question 50

Short Answer

The owner listed a property for 140% more than she paid for it 12 years ago. After receiving no offers during the first 3 months of market exposure, she dropped the list price by 10%, to $172,800. What was the original price that the owner paid for the property?

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Definitions:

Accounts Receivable Period

The common interval before a business secures payments from its customers for products or services rendered on credit.

Operating Cycle

The time period between the acquisition of inventory and the collection of cash from accounts receivable.

Cash Cycle

The amount of time required for a company to turn its inventory and various assets into cash through sales revenue.

Restrictive Policy

A policy implemented by a company or government to limit or control certain activities, often to ensure financial stability or compliance with regulations.