Affiliate Broker Tennessee (TN PSI) National Practice Exam `

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Study for the Affiliate Broker Tennessee National Exam. Practice with flashcards and multiple choice questions, with hints and explanations. Prepare well for your licensing exam!

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If an 800-square-foot rectangular building sells for $75,000, what is the cost per square foot?

$87.50
$93.75
$100.00
$112.50

The correct answer is: $93.75

To determine the cost per square foot of the building, you need to divide the total selling price of the building by its total square footage. In this scenario, the building sells for $75,000 and has an area of 800 square feet. Performing the calculation: Cost per square foot = Total Selling Price / Total Square Footage Cost per square foot = $75,000 / 800 sq. ft. Cost per square foot = $93.75 This calculation clearly shows that the cost per square foot of the building is $93.75, which is why this answer is the correct choice. The other options represent different calculations and values that do not accurately reflect the division of the total cost by the square footage.