Finance & Math Sprint
This topic is about disciplined setup: memorize the constants, label the ratio, and do not rush the closing-day assumption.
How to study this exam
Use the guide to learn the rule pattern first, then lock it in with flashcards, drills, and a Texas-weighted mock.
Core concepts
Concept 1
Common national items test loan basics, LTV, commission, area calculations, and prorations.
Exam cue: Write the formula shape first, then plug in numbers.
Concept 2
The handbook notes that 43,560 square feet per acre and 5,280 feet per mile are not provided and should be memorized.
Exam cue: Translate percentages into decimals before computing commission or LTV.
Concept 3
If a question needs prorations, the item will specify the day-count basis and the party that owns the day of closing.
Exam cue: Read the last sentence of a math question twice; it often contains the closing-day assumption.
Targeted study blocks
Formula block
Math sprint sheet
Keep one mental template: value question, commission question, acreage question, or proration question. If you cannot name the template, you are not ready to calculate.
Risk pitfalls and guardrails
Memorizing terms but not the underlying formula setup.
Guardrail: Pause and identify the controlling Texas rule or form boundary before you choose.
Using the wrong day-count basis for prorations.
Guardrail: Rewrite the formula setup and confirm the units before you calculate.
Forgetting to convert acreage or rate units before solving.
Guardrail: Name the rule trigger in one sentence before you evaluate the choices.
Memory anchors
Acre
1 acre = 43,560 square feet.
Mileage
1 mile = 5,280 feet.
LTV
Loan-to-value = loan amount divided by property value.
Points
One discount point equals 1% of the loan amount.
Commission
Commission = sale price times rate; calculate the total before splitting shares.
Interest
Simple annual interest = principal times rate, then prorate for the time period.
Area
Area = length times width; convert units before multiplying.
Tax Proration
Taxes are prorated by time owned, using the day-count and closing-day rule in the question.
Checkpoint rule
Do the check-up only after you can summarize each concept in one sentence and identify one dangerous pitfall from memory.
Knowledge Check (after reading)
Short check-up to confirm understanding of this module.
Check-up Questions
A lot contains 87,120 square feet. How many acres is that?
A property sells for $360,000 with a 6% commission split equally between listing and cooperating brokers. What is the listing broker's share before any internal splits?
Answer all questions to submit.
Next step personalized recommendations
Continue learning
Move forward only after this module is stable.