Real Estate Math
An Alaska property sells for $615,000. The seller's outstanding mortgage is $320,000. Commission is 5.5% and other closing costs are $4,800. The seller's net proceeds are:
A$248,375
B$252,125
C$256,950✓ Correct
D$290,200
Explanation
Commission = $615,000 × 5.5% = $33,825. Net = $615,000 − $320,000 − $33,825 − $4,800 = $256,375. To solve this, multiply the relevant values: $615,000 and $320,000 at 5.5%.. The correct answer is $256,950.. This is a common calculation on the Alaska real estate exam.
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