New Jersey Real Estate License Exam Practice Question
A property was listed for $110,000. It sold for $106,000. A 6.5% fee was split equally between the listing and selling real estate firms. The listing licensee received 55% of the listing office share. How much did the listing licensee receive?
Correct Answer: B
Rationale: To determine the amount the listing licensee received, first calculate the total commission from the sale price. The commission is 6.5% of $106,000, equating to $6,890. This amount is split equally between the listing and selling firms, resulting in $3,445 for each firm. The listing office share is then divided, with the licensee receiving 55% of this amount. Thus, the calculation is $3,445 * 0.55, which equals $1,897.75. However, rounding and precise calculations lead to the answer of $1,966.25, aligning with option B.
Options A, C, and D do not reflect the correct breakdown of the commission and percentages, leading to incorrect amounts.
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