Question

A real estate broker earns a fixed percentage of the selling price of a house as a commission. The broker sold a house for $ 278,000 and earned a commission of $ 16,680. What would the broker's commission be on a house that sells for $ 324,000?

Answer 1

first, we find the percentage of the commission earned:

$278,000 ----> 100%

$16,680 ------> x

then solve

$\begin{gathered} 278000\cdot x=16680\cdot100 \\ 278000x=1668000 \\ \frac{278000x}{278000}=\frac{1668000}{278000} \\ x=6 \end{gathered}$

therefore the commission is 6%. So,

$324,000 ------> 100%

y -------------------> 6%

$\begin{gathered} y\cdot100=324000\cdot6 \\ 100y=1944000 \\ \frac{100y}{100}=\frac{1944000}{100} \\ y=19440 \end{gathered}$

answer: $ 19,440