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jasenka [17]
3 years ago
8

As a new sales employee you are given two salary structures to choose from. The

Mathematics
1 answer:
Oksanka [162]3 years ago
6 0

Answer:

The indifference point between the two options is $15,000 in sales.

Step-by-step explanation:

<u>To determine the indifference point, first, we need to use structure the monthly income formula for each option:</u>

<u></u>

Option 1:

y= 1,400 + 0.06z

Option 2:

y= 1,100 + 0.08z

<u>Now, we equal both formulas and isolate z:</u>

1,400 + 0.06z= 1,100 + 0.08z

300= 0.02z

$15,000= z

The indifference point between the two options is $15,000 in sales.

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Answer:

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