Question

A house sold for $95,000 with a sales commission rate of 7.5%. The listing broker received 50% of the total commission and the selling broker received 50%. How much would the selling salesperson receive if the selling broker kept 60% and gave 40% to the salesperson?

Answer 1

To calculate the amount the selling salesperson would receive, we need to find the total commission, determine the amount the selling broker would keep, and then calculate the amount the salesperson would receive.

Step-by-step explanation:

To calculate the amount the selling salesperson would receive, we need to find the total commission, determine the amount the selling broker would keep, and then calculate the amount the salesperson would receive. First, the total commission can be found by multiplying the sales price by the commission rate: $95,000 * 7.5% = $7125. If the listing broker receives 50% of the total commission, they would receive: $7125 * 50% = $3562.50. If the selling broker keeps 60% of the remaining commission, they would receive: ($7125 - $3562.50) * 60% = $2137.50. The remaining 40% would be given to the salesperson, so the salesperson would receive: ($7125 - $3562.50) * 40% = $1425.