Real Estate Math

A seller in Indiana nets $168,000 after paying a 6% commission. What was the sale price?

A$177,000

B$178,723✓ Correct

C$179,250

D$180,000

Explanation

Sale price = Net proceeds ÷ (1 − commission rate) = $168,000 ÷ 0.94 = $178,723.40. To solve this, multiply the relevant values: $168,000 at 6%.. The correct answer is $178,723.. This is a common calculation on the Indiana real estate exam.

Related Indiana Real Estate Math Questions

An Indiana property has a potential annual gross income of $144,000. With a 5% vacancy rate, what is the effective gross income?
An Indiana home sells for $410,000. If the property was purchased 5 years ago for $340,000, what is the total dollar appreciation?
An Indiana broker's monthly expenses total $8,500. If they earn an average commission of $7,500 per transaction, how many transactions must they close monthly to break even?
A property in Gary, Indiana is assessed at $110,000. The county equalization factor is 1.25 and the tax rate is 2.4%. What is the annual property tax?
An Indiana broker recruits an agent on a 70/30 split. If the brokerage earns a 3% commission on a $480,000 sale, how much does the agent earn?
An Indiana home has been on the market 90 days and the seller has reduced the price from $350,000 to $322,000. What is the percentage price reduction?
An Indiana seller's property is listed at $475,000. After negotiations, the buyer and seller agree on $455,000. What was the negotiated percentage below asking price?
An Indiana property valued at $520,000 has land worth $80,000. The building has a remaining economic life of 35 years. Using straight-line depreciation, what is the annual depreciation allowable for tax purposes (non-residential: 39 years)?

Practice More Indiana Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Indiana Quiz →