shayla is financing a house for $126,750. She has to pay $450 plus 1.15% for a brokerage fee. How much are the mortgage brokerag
e fees?
1 answer:
Answer: $1,907.63
Explanation:
It is stated in the problem that the brokerage fee is $450 plus 1.15% (meaning 1.15% of $126,750). Hence the brokerage fee is computed as follows
(Brokerage fee) = $450 + (1.15% of $126,750)
= $450 + (0.0115)($126,750)
= $450 + $1,457.625
= $1,907.625
Since there is no half cents today, we round-off the brokerage fee to the nearest cent. Hence the brokerage fee is $1,907.63.
Note: In the computation of brokerage fee, we need to change 1.15% to decimal.
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