Question

You run a software company and hired a new salesperson. You offer $40,000 base salary. Additionally, if the salesperson sells $500,000 worth of software she meets a gate that entitles her to a bonus of 2% commission on additional sales. Your new salesperson sold $750,000 worth of software the first year.

Answer 1

2% of 750,000 is 15,000. this adds up to the salary, so her salary will be 55,000.

Answer 2

$45,000

Explanation:

Base salary = $40,000

If the salesperson sells $500,000 worth of software she meets a gate that entitles her to a bonus of 2% commission on additional sales.

Commission = 2% of additional sales (More than $500,000)

It is given that new salesperson sold $750,000 worth of software the first year.

Let as assume we need to find the total salary of new salesperson.

Additional sales = $750,000 - $500,000 = $250,000

Commission on additional sales

`Commission=250,000* (2)/(100)=5000`

Total salary = Base salary + Commission

Total salary = $40,000 + $5,000

Total salary = $45,000

Therefore, the total salary of new salesperson is $45000.