Question

Miguel Valdez sells appliances. He is paid an 8% commission on the first $5,000 worth of sales, 10% on the next $5,500, and 15% on all sales over $10,500. What is his commission on $14,910 worth of sales?

Answer 1

Total Sales = 14910

8% on 5000

10% on 5500

15% on

14910 - 10500 = 4410

So,

15% on 4410 [this is the excess of 10,500]

Converting percentages to decimal:

8% = 8/100 = 0.08

10% = 10/100 = 0.1

15% = 15/100 = 0.15

Total Commission

`0.08(5000)+0.1(5500)+0.15(4410)=1611.5`$1611.50