Question

How do you solve this problem? Marcus works 40 hours per week at the warehouse. He earns $6.50 per hour plus a 3% commission on the total dollar value of the service contracts he sells. Marcus hourly rate were increased by $0.15 and his commission were raised to 5%, how much would he earn if he sold $4,000 worth of service contracts for the week?

Answer 1

To calculate Marcus's new earnings, we add his hourly earnings of $266 (40 hours at $6.65 per hour) to his commission earnings of $200 (5% of $4,000 in sales), resulting in a total of $466 for the week.

Step-by-step explanation:

To solve the problem of calculating Marcus's earnings with a new hourly rate and commission percentage, we first need to calculate his weekly earnings from his hourly rate and then add the earnings from his commission.

Marcus's new hourly rate is $6.50 + $0.15, which equals $6.65 per hour. Since he works 40 hours a week, his earnings from the hourly rate would be 40 hours × $6.65/hour = $266.

Next, we calculate Marcus's earnings from the commission. With a commission rate of 5%, and $4,000 worth of service contracts, his commission earnings would be 5% of $4,000, which is $200.

Therefore, Marcus's total earnings for the week would be his hourly earnings plus his commission earnings: $266 + $200 = $466.