Question

You are offered two different sales jobs. The first company offers a straight commission of 6% of the sales. The second company offers a salary of $ 310 per week plus 2% of the sales. How much would you have to sell in a week in order for the straight commission job to be at least as good as the salary based job?

Answer 1

Weekly Sales = 7750$

Step-by-step explanation:

Let we Assume:

x = Weekly Sales

y = Weekly Earning

Afterwards using the given information:

First company offers only 6% commission on weekly sales which can be written as:

y = 0.06x - Equation 1

Second company offers 310$ per week plus 2% commission on weekly sales which may be written as:

y = 310 + 0.02x - Equation 2

By comparing equation 1 and equation 2 we have:

0.06x = 310 + 0.02x ; Comparing equation 1 & 2 as both equals to y

0.06x - 0.02x = 310

0.04x = 310 ;

x = 310 / 0.04

x = 7750 $

So, we have to achieve weekly sales of 7750$ for the straight commission job to be at least as good as the salary based job.