How is the agent's commission calculated from the broker's commission?

The calculation of the agent's commission from the broker's commission involves multiplying the total dollar amount of the commission paid to the broker by the percentage of that commission that is allocated to the agent. Therefore, the correct approach to determine the agent's commission is to take the total commission amount the broker receives and apply the percentage that represents the agent's share.

For example, if a broker earns a commission of $10,000 and the agent receives 60% of that amount, you would calculate the agent’s share by multiplying $10,000 by 0.60, resulting in a commission of $6,000 for the agent. This method directly reflects how the agent’s commission is derived from the broker's total earned commission.

The other options do not provide the correct method for this calculation. They either misrepresent how the figures should be manipulated or use incorrect formulas for deriving the agent's commission, making them unsuitable choices in this context.