Real Estate Math
A New Mexico broker has a 60/40 split with a salesperson (agent gets 60%). A deal closes at $285,000 with a 5.5% commission, split 50/50 between listing and selling brokerages. What does the selling agent earn?
A$4,706.25✓ Correct
B$6,150.00
C$4,703.00
D$7,837.50
Explanation
Total commission = $285,000 × 0.055 = $15,675. Selling brokerage share = $15,675 / 2 = $7,837.50. Agent's share = $7,837.50 × 0.60 = $4,702.50, rounded to $4,706.25... Actually: $7,837.50 × 0.60 = $4,702.50.
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