Humber/Ontario Real Estate Course 4 Exam Practice

In percentage calculations, which units are involved?

1. The whole, part, rate, and decimal.

2. The rate and the whole.

3. The whole, rate, and part.

4. The part, rate, and decimal.

5. The whole and part.

6. The divisor and dividend.

The correct answer is: The whole, rate, and part.

In percentage calculations, the units involved include the whole, rate, and part. The whole refers to the total or entire quantity being considered, the part represents the portion of that total, and the rate is the ratio that is used to express the part in relation to the whole, typically as a percentage. Understanding these components is crucial because percentage itself is a way of expressing a number as a fraction of 100. For example, if you have a whole of 200 and you want to find what percentage 50 is of that whole, the part is 50, the whole is 200, and the rate can be calculated as (50/200) multiplied by 100, which yields 25%. This illustrates how the three elements interplay in percentage formulation. Other choices do not encompass all necessary components. Some may omit key elements like the whole or the part, which are essential for calculating percentages accurately. In essence, a thorough grasp of the whole, rate, and part allows for precise percentage calculations across various applications in real estate and finance.