Real Estate Math

A property in Asheville, NC sells for $420,000. The broker charges a 5.5% commission. The total commission is:

A$21,000
B$23,100✓ Correct
C$25,200
D$24,000

Explanation

$420,000 x 0.055 = $23,100 total commission. To solve this, multiply the relevant values: $420,000 at 5.5%.. The correct answer is $23,100.. This is a common calculation on the North Carolina real estate exam.

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