Real Estate Practice 051623

1. Unit 13 – The Real Estate Business
14. A property was listed for sale at $100,000. If the
original cost was 80% of the list price, what will the
profit be if it sells for $100,000?
Get rid of the words:
Sale price = $100,000
Original Cost = $100,000 x 80%
% Profit = ?
$80,000 = 100%
$20,000 =
• $20,000 x 1.00 = $20,000
• $20,000 ÷ $80,000 = .25
Profit

2. Unit 13 – The Real Estate Business
17. A building lot was sold for $88,000. If the seller made a
profit of 10 percent, what was the original cost of the
property?
Get rid of the words:
Sale price = $88,000
Profit = 10%
Original Cost = ?
$88,000 = 110%
Original
Cost 100%
=
• $88,000 x 1.00 = $88,000
• $88,000 ÷ 1.10 = $80,000

3. Unit 14 – Real Estate Brokerage
11. A parcel of vacant land 80 feet wide and 200 feet deep
was sold for $200 per front foot. How much money
would a salesperson receive for her 60 percent share in
the 10 percent commission?
Get rid of the words:
Commission = 10%
Agent Split = 60%
Value of Land = $200/ff
Commission Amount = ?
80’
200’
• 80’ x $200 = $16,000
• $16,000 x .10 = $1,600
• $1,600 x .60 = $960
(Sale Price)
(Total Commission)