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Sarah is a psychologist at a practice. She earns a basic salary of R3 000 per month as well as 20% commission on income up to R5 000. She receives an additional 10% bonus on top of the normal commission rate on earning above R5 000. If Sarah did work to the value of R12 000, how much did she earn in total?​

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Answer:

Explanation:

To calculate Sarah's earnings, we need to break down her income into two parts: the commission she earns on income up to R5 000, and the bonus commission she earns on income above R5 000.

Commission on income up to R5 000:

Sarah's basic salary is R3 000 per month, and she earns 20% commission on income up to R5 000. So for the first R5 000 of income, Sarah's commission is:

Commission on income up to R5 000 = 20% of R5 000 = R1 000

Bonus commission on income above R5 000:

Sarah also receives a 10% bonus on top of the normal commission rate on earning above R5 000. So for the amount earned above R5 000, her commission is:

Commission on income above R5 000 = (20% + 10%) of (R12 000 - R5 000) = 30% of R7 000 = R2 100

Total earnings:

Sarah's total earnings are the sum of her basic salary and the commission she earns:

Total earnings = Basic salary + Commission on income up to R5 000 + Commission on income above R5 000

Total earnings = R3 000 + R1 000 + R2 100

Total earnings = R6 100

Therefore, Sarah earns R6 100 in total for her work to the value of R12 000.

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