Real Estate Math

An Iowa property owner wants to net $215,000 after paying a 5% commission. What must the property sell for?

A$225,750
B$226,316✓ Correct
C$226,841
D$227,000

Explanation

Net = Sale price × (1 − commission rate). $215,000 = Sale price × 0.95. Sale price = $215,000 ÷ 0.95 = $226,315.79 ≈ $226,316.

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