Question

Mitchell Gomez is an auto mechanic. He earns a base salary of $2,000 per month. In addition, he receives the following graduated commissions: 2 percent for the first $5,000 in repairs and 3 percent over $5,000. if he exceeds $10,000 in repairs, he is given a $500 bonus. What is Gomez's total pay for the month if he does $10,125 on repairs?

Answer 1

Mitchell Gomez's total pay for the month is $2,603.75.

Step-by-step explanation:

To calculate Mitchell Gomez's total pay for the month, we need to calculate the commissions he earned for the repairs and add them to his base salary. Here's how we can do that:

1. For the first $5,000 in repairs, Mitchell earns a 2% commission. So, his commission for this part would be $5,000 * 0.02 = $100.
2. For the amount over $5,000, Mitchell earns a 3% commission. In this case, that would be $5,125 - $5,000 = $125. So, his commission for this part would be $125 * 0.03 = $3.75.
3. Adding up the commissions, we have $100 + $3.75 = $103.75.
4. If Mitchell exceeds $10,000 in repairs, he also receives a $500 bonus. Since $10,125 is greater than $10,000, he earns the bonus.
5. Finally, we can calculate Mitchell's total pay for the month by adding up his base salary, commissions, and bonus. $2,000 + $103.75 + $500 = $2,603.75

Answer 2

Step-by-step explanation:

He earns a base salary of $2,000 per month. This amount is constant.

he receives 2 percent commissions

for the first $5,000 in repairs. Since his repairs for the month was $10125 which is more than $5000, it means that he earned

2/100 × 5000 = $100

He also earns 3 percent over $5,000. This means that he earns 3% on any amount over $5000 and this amount is 10125 - 5000 = $5125.Therefore, amount earned is

3/100 × 5125 = $153.75

if he exceeds $10,000 in repairs, he is given a $500 bonus. His repairs exceeded $10000. So he gets a $500 bonus. Gomez's total pay for the month will be

$2000 + $100 + $153.75 + $500 = $2753.75