Real Estate Math

A Wyoming broker wants to earn at least $8,500 on the listing side of a transaction. The property is expected to sell for $425,000 and the total commission is split 50/50 between listing and selling brokers. What minimum commission rate is required?

A3.5%
B4%✓ Correct
C4.5%
D5%

Explanation

Listing side gets 50% of commission. $8,500 × 2 = $17,000 total commission needed. Rate = $17,000 ÷ $425,000 = 0.04 = 4%.

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