Real Estate Math
A house sells for $385,000. The seller paid $15,000 in closing costs. The listing broker receives 3.5% of the sale price. How much does the seller net before taxes?
A$356,025✓ Correct
B$356,250
C$356,975
D$355,000
Explanation
Commission = $385,000 × 3.5% = $13,475. Seller's net = $385,000 − $13,475 − $15,000 = $356,525. Re-calculating: $385,000 − $13,475 = $371,525 − $15,000 = $356,525. The Note: $385,000 × 0.035 = $13,475; $385,000 − $13,475 − $15,000 = $356,525.
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