Employee A makes $1,200 more than Employee B for sales of $100,000.
The earnings of Employee A are: = Commission rate x Sales
= 6% x 100,000
= $6,000
The earnings of employee B are = Commission on first $80,000 + Commission on anything above $80,000
= (4% x 80,000) + (8% x (100,000 - 80,000)
= 3,200 + (8% x 20,000)
= $4,800
The difference is: = Employee A commission - Employee B commission
= 6,000 - 4,800
= $1,200
In conclusion, Employee A makes $1,200 more than Employee B for sales of $100,000.
Commission Rate :
The commission rate is the percentage or fixed payment associated with a certain amount of sale. For example, a commission could be 6% of sales, or $30 for each sale.
Learn more about Commission rate :
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