Real Estate Math
A Nevada sales agent earned $72,000 in commissions last year. If the agent is on a 70/30 split with the broker (agent keeps 70%), what was the total gross commission income generated by the agent?
A$102,857✓ Correct
B$100,800
C$95,000
D$50,400
Explanation
If the agent keeps 70% of gross commission = $72,000, then total gross commission = $72,000 ÷ 0.70 = $102,857 (approximately). The broker's 30% share = $102,857 × 0.30 = $30,857. Check: $72,000 + $30,857 = $102,857. This type of reverse commission calculation is common on Nevada real estate math exams. Always identify what percentage is given and what the total represents to set up the equation correctly.
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