When determining the selling price, which formula is used?

The correct approach to determining the selling price involves understanding how to calculate based on a percentage of the listed price. In this context, the first choice, which suggests multiplying the listed price by a certain percentage, is an efficient way to find the selling price when considering discounts or adjustments.

For example, if a property is listed at $300,000 and the agreed selling price is set at 95% of the listed price, one would calculate it as follows: $300,000 x 0.95 = $285,000. This formula effectively allows for straightforward adjustments to the listed price to arrive at the selling price.

Other options don't accurately represent a standard method for determining a selling price based on listed price or percentages. For instance, the second choice involves dividing the selling price by the listed price, which doesn't yield a meaningful result in this context. The third option suggests dividing the listed price by a percentage of the selling price, which is not a typical calculation when arriving at a selling price. Lastly, the fourth choice implies a multiplication that doesn't reflect a practical or commonly utilized method within real estate transactions for calculating selling prices.