Business FinancesQuestion 1200 of 1605
A contractor bills $75,000 on a job. The contract requires 10% retention and the owner also back-charges $1,500 for a utility relocation. How much will the contractor receive on this billing?
a.$73,500
b.$66,000
c.$67,500
d.$65,000
Explanation
Retention = 10% of $75,000 = $7,500. After retention: $75,000 - $7,500 = $67,500. Then subtract the $1,500 back-charge: $67,500 - $1,500 = $66,000.
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