Diana, a salesperson, took a listing on a house that sold for $129,985. The commission rate was 8 percent. Carol, a salesperson employed by another broker, found the buyer. Diana's broker received 60 percent of the commission on the sale; Carol's broker received 40 percent. If Diana's broker kept 30 percent, and paid Diana the remainder, how much did she earn on this sale?a. $1,247.86c. $4,367.50b. $2,911.66d. $6,239.28
Q. Diana, a salesperson, took a listing on a house that sold for $129,985. The commission rate was 8 percent. Carol, a salesperson employed by another broker, found the buyer. Diana's broker received 60 percent of the commission on the sale; Carol's broker received 40 percent. If Diana's broker kept 30 percent, and paid Diana the remainder, how much did she earn on this sale?a. $1,247.86c. $4,367.50b. $2,911.66d. $6,239.28
Calculate Total Commission: First, calculate the total commission from the sale of the house by multiplying the sale price by the commission rate.$129,985×0.08=$10,398.80
Split Commission Between Brokers: Next, split the total commission between Diana's broker and Carol's broker according to their respective shares.Diana's broker gets 60\% of $10,398.80, which is $10,398.80×0.60=$6,239.28
Calculate Diana's Broker's Share: Carol's broker gets the remaining 40%, but we don't need to calculate this for Diana's earnings.
Calculate Diana's Earnings: Now, calculate how much Diana's broker keeps from their share of the commission.Diana's broker keeps 30\% of $6,239.28, which is $6,239.28×0.30=$1,871.78
Subtract Broker's Share from Total: Finally, subtract the amount Diana's broker keeps from their total share to find out how much Diana earns.$6,239.28−$1,871.78=$4,367.50