Question

Bob neff, owner of an automotive dealership, pays one of his salesmen, mike, a $1,300 draw per week plus 6% on all commission sales. mike sold seven cars over the four-week period, totaling $186,900 for the month. mike’s commission minus the draw is:

Answer 1

Draw per week = $1,300

Draw for four weeks = 1300 x 4 = $5,200

Four week sales amount = $186,900

6% commission on sales = 0.06 x 186,900 = $11,214

Thus the amount equal to mike’s commission minus the draw = 11,214 – 5,200 = $6,014