Answer:
$58,600
Step-by-step explanation:
Data provided in the question:
Commission on Sales upto and including $40,000 = 5%
Commission on Sales above $40,000 = 10%
Total commission = $3,860
Now,
For sales of $40,000
maximum commission = 5% of $40,000
= $2,000
Since the commission received is greater than $2,000
Therefore,
The value of s is greater than $40,000
Thus
Amount qualifying for 10% commission = s - $40,000
therefore,
Total commission = $2,000 + 10% of (s - $40,000)
or
$3,860 = $2,000 + 0.10 × (s - $40,000)
or
$1,860 = 0.10 × (s - $40,000)
or
s - $40,000 = $18,600
or
s = $18,600 + $40,000
or
s = $58,600
