Question

A new company has moved into town. The hiring manager has offered you one of the following three jobs. Which position pays thebest?Job 1This job pays $12.00 per hour with a regular 40-hour work week and time-and-one-half for overtime. The position is paidfor 50 weeks, with 2 weeks of unpaid vacation.Job 2This position is a salaried, entry-level management position that pays $26,710.Job 3This opportunity is a commission-based sales position with the firm's marketing department. The company offers a basesalary of $5,800 and a commission of 4% on all completed sales. The hiring manager believes that you will sell $667,000worth of goods this year.

Answer 1

`The\text{ position that pays the best is Job Offer 2}`

Explanation:

Evaluate each job offer to see what is the best position.

For job 1:

`12(40)*50=\text{ \$24,000 for the 50 weeks}`

For job 2:

`Salaried=\text{ \$26,710}`

Now, for job 3 with a base salary of $5,800:

If the manager believes you will sell for $667,000.

`5,800+0.04(667,000)=\text{ \$26,680}`