Chapter SH, Problem 7.7MPS

a.

To determine

To calculate: The percent of change in the homes sold.

Answer to Problem 7.7MPS

  $4.9\%$ , Increase.

Explanation of Solution

Given information:

The figures for home sales for 2010 and 2011 in Shore County are shown.

  

Calculation:

Amount of change from 2010 to 2011 $=19226-18328=898$

Then, percent of change

  $\begin{array}{l}=\frac{\text{amount of change}}{\text{original amount}}\\ =\frac{898}{18328}\\ \approx 0.048996\end{array}$

To the nearest tenth, the percent of change in homes sold is $4.9\%$ . Since the percent of change is positive, it is a percent of increase.

b.

To determine

To calculate: The percent of change in the average selling price.

Answer to Problem 7.7MPS

  $-0.6\%$ , Decrease.

Explanation of Solution

Given information:

The figures for home sales for 2010 and 2011 in Shore County are shown.

  

Calculation:

Amount of change from 2010 to 2011 $=219748-220988=-1240$

Then, percent of change

  $\begin{array}{l}=\frac{\text{amount of change}}{\text{original amount}}\\ =\frac{-1240}{220988}\\ \approx -0.005611\end{array}$

To the nearest tenth, the percent of change in average selling price is $-0.6\%$ . Since the percent of change is negative, it is a percent of decrease.