Question

Bartlett Electronics pays all sales representatives 4% commission on the first $40,000 of their individual sales and 7% commission on their individual salesexcess of $40,000. Assume that Patricia Miller sold merchandise valued at $75,000 during the month of June.Calculate the following amounts.(a) Commission on sales in the sales base:(b) Commission on additional sales:(c) Gross pay:I need help with my math problem.

Answer 1

Given the following question:

The store pays 4% for the first 40,000 of their individual sales.

The store pays 7% of commission for all sales higher than the 40,000.

Now we are given 75,000.

We will use the formula to calculate percentages to find these answers.

For part A:

$\begin{gathered} \frac{p\times n}{100} \\ p=4 \\ n=40,000 \\ \frac{4\times40000}{100} \\ 4\times40000=160000\div100=1600 \\ =1600 \end{gathered}$

Commission on sales in the sales base is equal to $1600.

Part B:

$\begin{gathered} \frac{p\times n}{100} \\ p=7 \\ n=35000\text{ \lparen since 75000-40000=35000\rparen} \\ \frac{7\times35000}{100} \\ 7\times35000=245000\div100=2450 \\ =2450 \end{gathered}$

Commission on additional sales is $2450.

Part C:

Gross pay means total pay before deducations so if we already calculate the amount of money he makes in this month before and after the 40,000, all we have to do is add.

1600 + 2450 = 4050

He makes $4050 in the month of June.