Real Estate Math

A Montana broker charges 6% commission on the first $100,000 and 4% on the remainder. A property sells for $280,000. What is the total commission?

A$13,200✓ Correct
B$13,400
C$14,200
D$16,800

Explanation

Commission on first $100,000 = $100,000 × 6% = $6,000. Commission on remaining $180,000 = $180,000 × 4% = $7,200.

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