New Jersey Real Estate 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 66% of the listing office share. How much did the listing licensee receive?
Correct Answer: B
Rationale: To determine the amount the listing licensee received, start by calculating the total commission from the sale. The sale price was $106,000, and with a 6.5% commission rate, the total commission is $6,890 (106,000 x 0.065). This amount is split equally between the listing and selling firms, resulting in $3,445 for each firm. The listing licensee earns 66% of their firm's share, which amounts to $2,273.70 (3,445 x 0.66).
Option A ($1,894.75) underestimates the commission. Option C ($3,575.00) and Option D ($3,789.50) overestimate the listing licensee's share based on the commission distribution.
Unlock All Questions
Subscribe to Premium for full access to all practice questions, detailed rationales, and performance tracking.
Subscribe Now