Real Estate Math

A salesperson earned $9,600 in commission on a sale. The commission rate was 6% and the salesperson received 40% of the total commission. What was the sale price of the property?

A$300,000
B$350,000
C$400,000✓ Correct
D$450,000

Explanation

Work backward: Total commission = $9,600 ÷ 40% = $24,000. Sale price = $24,000 ÷ 6% = $400,000. To solve this, multiply the relevant values: $9,600 at 6%.. The correct answer is $400,000.. This is a common calculation on the Alaska real estate exam.

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