#889

The commission rate has been established for selling an apartment house and was set at five percent of the first 15 thousand dollars, and three percent of the next 20 thousand dollars. The commission rate on the balance was 1.5 percent.
The broker received a commission payment of $1,710.
What was the selling price of the property ?
Remember to take your time. The solution is posted below the wldlife photograph.

wildlife

A.$59,000


150000 first commission level
*
0.05 percentage of first level
=
7500 total commisssion of first level


200000 second commission level
*
0.03 percentage of second level
=
6000 total commission of second level


17,100 total commission paid
-
13,500 subtract first and second level commission base from the total and find a commission balance of 360 dollars.
=
3600 commission balance at 1.5%

 
3600 commission balance
/
0.015 percentage paid on the balance of the sale price
=
240000 total balance after the first and second commission structure.


Now add 7500, 6000 and 3600 to see that the commission structure equals a total of $17100 dollars.

Add the one hundred and fifty thousand dollars from the first commission structure to the two hundred thousand dollars of the second commission structure and the 240 thousand dollar balance after we find the total balance paid on the third commission structure and we have a total of $590,000 paid for the apartment house

 

 

Earth

Watch live streaming video from davidsaks at livestream.com

David Saks

Content Protected © 2013   
Subscribe To David's Blog    
Add David as an Associate

 
Posted by David Saks on 11/08/2010 02:43 AM   Comments (0)   Theory and Practice in the ActiveRain Channel   theory and practice  
Originally posted at: David Saks: Real Estate Practice : Lesson 889
Generate short URL
This post has been included in Tennessee Real Estate News
Post is included in group: Education

0 Comments on Real Estate Practice : Lesson 889

Comments have been disabled by the author
 
Dsupload Rainmaker_large

David Saks

Broker

Memphis, TN

More about me…

The Real Estate Mart of Tennessee, Inc.

Address: 4040 North Watkins, Suite #4, Memphis, TN, 38127

Office Phone: (901) 357-4663

Cell Phone: (901) 217-4114

Email Me

Join ActiveRain

Legal Disclaimer:

The information and notices contained in this blog are intended to summarize recent developments and news. The posts are presented as general research and information. These posts are not intended, nor should be regarded, as legal advice. Some blog posts concern allegations made in civil lawsuits and in criminal indictments in United States Courts. All persons are presumed innocent until convicted of a crime and proven guilty. Readers who have particular questions or who believe that they need legal counsel should seek the advice of a qualified attorney. It is neither the editor's or author's intention to create a confidential relationship or any broker-client relationship via communication from this site at any time. Please consult with your state real estate board if questions & answers in the education section conflict with the laws of your region or if you need clarification regarding their applicability or how they may govern the services that you provide.

Photos © & Licensed by Nova Development

Content Protected © 2013   


Subscribe To David's Blog    
Add David as an Associate

Before you even think about committing a real estate crime click the red button.
Real Estate Crimes



Listings

Links

Archives

RSS 2.0 Feed for this blog

Find TN real estate agents and Memphis real estate on ActiveRain.