Real Estate Math

A broker's commission is 6% on a $395,000 sale. The listing firm gets 60% of the commission and the selling firm gets 40%. The listing firm receives:

A$9,480
B$14,220✓ Correct
C$15,800
D$23,700

Explanation

Total commission = $395,000 x 0.06 = $23,700. Listing firm = $23,700 x 0.60 = $14,220. To solve this, multiply the relevant values: $395,000 at 6%.. The correct answer is $14,220.. This is a common calculation on the North Carolina real estate exam.

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