Question

Some sales positions pay a commission if sales exceed a set quota. Yolanda Gonzalez is paid $1,750 per month plus a commission of 9.5% on all sales of more than a $25,000 monthly quota. What is Yolanda’s total pay for a month in which her sales totaled $37,500?

Answer 1

Yolanda's total pay is $2937.50.

Explanation:

Yolanda is being paid a fixed amount = $1750 per month

And a commission = 9.5% on the amount above $25000 monthly quota.

So the expression which will represent the total pay will be

Total pay = $1750 + 9.5% of (x - 25000)

Where x = Total sales of the month

If total sales of the month is $37500.

Total pay = 1750 + 0.095(37500 - 25000)

= 1750 + 0.095×12500

= 1750 + 1187.50

= $2937.50

Therefore, Yolanda's total pay is $2937.50.