Real Estate MathQuestion 105 of 120
A home sells for $400,000 with a total commission rate of 6 percent. What is the total commission?
a.$24,000
b.$2,400
c.$40,000
d.$18,000
Explanation
Total commission equals sale price times commission rate: $400,000 x 0.06 = $24,000. Percentages are converted to decimals before multiplying. This total would then be split among the brokerages and agents involved.
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