Question

HELP I NEED HELP ASAP

Answer 1

Answer:

$20,000 = sales

Step-by-step explanation:

Giving the following information:

Fixed salary= $300

Commission rate= 1% of sales

First, we need to establish the net income formula:

Net income= 300 + 0.01*sales

Now, the sales required for $500 net income:

500= 300 + 0.01sales

200/0.01 = sales

20,000 = sales

Prove:

Net income= 300 + 0.01*20,000

Net income= $500