Certainly! Let's calculate the commission step by step.
1. Identify the Sale Price of the House:
The house was sold for [tex]$87,000.
2. Identify the Commission Rate:
The commission rate is 2.5%.
3. Convert the Commission Rate to Decimal Form:
To work with the percentage in the calculation, convert it into its decimal form. The commission rate of 2.5% is equivalent to 0.025 in decimal form.
4. Calculate the Commission Amount:
Multiply the sale price of the house by the commission rate in its decimal form to find the commission amount.
\[
\text{Commission Amount} = \text{House Price} \times \text{Commission Rate}
\]
\[
\text{Commission Amount} = 87000 \times 0.025
\]
5. Result:
The commission amount that the realtor would earn is $[/tex]2175.0.
So, the commission amount is $2,175.00.
