Real Estate Math
A Texas broker charges 7% on the first $100,000 and 4% on the balance of the sale price. If a property sells for $350,000, what is the total commission?
A$16,000
B$17,000✓ Correct
C$17,500
D$18,000
Explanation
Commission on first $100,000 = $100,000 × 0.07 = $7,000. Commission on remaining $250,000 = $250,000 × 0.04 = $10,000. Total = $7,000 + $10,000 = $17,000.
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