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Shawn has been hired as a sales associate for Horizon Phone Company. He has two salary options. He can either receive a salary of $800 per week or a salary of $475 per week plus a 8% commission of weekly sales. How much in sales must Shawn generate in order for the second option of commission to be a better salary choice?

12 points. Please help.

User Yo Ludke
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1 Answer

7 votes
So, the answer is not clear. There is no certain amount, only greater than a certain value. The first choice has $800, and the second one had $475 plus 8 percent commission. The initial salary difference is $325, so he needs to make more than $325 from 8 percent. To find out an exact a threshold, we have to use proportions.
8/100 = 325/x is what you should use. Calculating it, you get a threshold of $4,062.50. This is the exact amount needed to balance out the two. He needs more than $4,062.50. The inequality for this would be,
x > $4062.50. I hope I got the question right, and sorry for over explaining, hope you get it now.
User Theadore
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9.0k points
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