Real Estate Math
A Minnesota seller wants to net $285,000 after paying a 6% commission and $3,500 in closing costs. Approximately what sale price is needed?
A$307,000
B$306,915✓ Correct
C$301,064
D$310,000
Explanation
Let P = sale price. Net = P - 0.06P - $3,500 = $285,000. 0.94P = $288,500. P = $288,500 / 0.94 = $306,914.89, approximately $306,915. Working backwards from net proceeds is a common Minnesota real estate exam calculation.
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