Real Estate Math

A Hawaii property was listed for $950,000 and sold for $920,000. The broker receives a 6% commission. How much does the buyer's agent receive if the commission is split 50/50?

AA. $27,600✓ Correct
BB. $28,500
CC. $25,200
DD. $29,400

Explanation

Commission = Sale Price × 6% = $920,000 × 0.06 = $55,200. Each agent receives 50% of the total commission: $55,200 / 2 = $27,600. Note: commission splits between the broker and the individual agent may vary, but this shows the cooperating commission amount going to the buyer's side.

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