Question

Listing broker A negotiates the sale of C’s property with the cooperation of broker B. The brokers agree to a 50/50 split of the $10,000 commission. Each broker has a salesperson who will receive 25% of their broker’s commission. How much will each salesperson receive?

Answer 1

The answer is: Each salesperson will receive $1,250

Step-by-step explanation:

The total commission for this sales operation is $10,000 that will be split equally between the two brokers, so each broker will get $5,000. If the broker hired a salesperson and will pay him 25% of their commission, you must multiply $5,000 x 25% to find out the salesperson´s earnings. For this sale it is $1,250.