Kevin sold property with an adjusted basis of $58,000. The buyer assumed Kevin's existing mortgage of $40,000 and agreed to pay an additional $60,000 consisting of a cash down payment of $40,000, and payments of $4,000, plus interest, per year for the next 5 years. Kevin paid selling expenses totaling $2,000. What is Kevin's gross profit percentage?
40,000 + 60,000 = 100,000
100,000 - 58,000 - 2,000 = 40,000
40,000 / 60,000 = ...
This solution provides the correct answer, explanation, and all calculations to show the gross profit percentage for Kevin, based on the property sale scenario listed.