Rationale
$10,725 remained with the listing brokerage.
The total sales commission on a property sold for $325,000 at a rate of 6% amounts to $19,500. After the listing broker pays 55% to the buyer's broker, the remaining amount with the listing brokerage is $10,725.
A) $10,725
This choice accurately represents the amount that remains with the listing brokerage after distributing the commission. The total commission is calculated as 6% of $325,000, yielding $19,500. The listing broker retains 45% of that, which equals $10,725.
B) $8,775
This option incorrectly calculates the remaining amount with the listing brokerage. If we were to assume this figure, it would suggest that the listing broker retained a much smaller percentage than 45% after paying the buyer's broker, which does not align with the commission structure provided in the question.
C) $9,750
This choice also misrepresents the retained amount. It implies that the listing brokerage kept only around 50% of the commission, which contradicts the 45% share after paying the buyer's broker. The correct calculation shows that $10,725 is the accurate figure.
D) $10,725
This choice is actually the correct answer, as explained earlier. It correctly reflects the amount retained by the listing brokerage after the necessary commission split.
E) $19,500
This option mistakenly suggests that the listing brokerage retains the entire commission. In reality, this value represents the total commission before any distribution between the listing and buyer's brokers, thus it does not answer the question regarding the amount remaining with the listing brokerage.
Conclusion
In summary, the listing brokerage retains $10,725, which is calculated after deducting the 55% paid to the buyer's broker from the total commission of $19,500. This calculation exemplifies how real estate commissions are typically shared between brokers, underscoring the importance of accurate percentage applications in financial transactions.
