Question

A salesperson applying for work is considering two job offers. Company A offers to pay $110 per day plus 7% of the total sales for that day. Company B offers $80 per day plus 12% of total daily sales. What is the smallest daily sales amount that will make company B as lucrative for the salesperson as company?

Answer 1

$600

Step-by-step explanation:

Total entrance company A= 110 + daily sales amount x 7%

Total entrance Company B = 80 + daily sales amount x 12%

The point with the same entrance for both companies could be obtained matching both equations:

110+daily sales amount x 7% = 80 + daily sales amount x 12% ,

clearing the variable (daily sales amount) :

daily sales amount= (110-80) / ( 12%-7% ) = 30 /5% = $600