Question

You are a sales representative. you make 400$ plus 5% of your total sales of the week Part A Last week, you had total sales of $5000. Find your total earnings.

Option 1: $425.00
Option 2: $400.00
Option 3: $425.00
Option 4: $350.00

Answer 1

To calculate total earnings, multiply the total sales by the commission rate to get the commission, and then add the commission to the base salary. In this case, the earnings are $400 (base salary) plus $250 (commission on $5000 sales), totaling $650.

Step-by-step explanation:

To calculate the total earnings for a sales representative who makes a base salary plus a commission, you need to add the base salary to the earnings from commission. The sales representative has a base salary of $400 plus a 5% commission on total sales. Last week, the sales had total sales of $5000.

The commission earned would be 5% of $5000, which is calculated as follows:

• Commission = Total Sales × Commission Rate
• Commission = $5000 × 0.05
• Commission = $250

Now, add the commission to the base salary to find the total earnings:

• Total Earnings = Base Salary + Commission
• Total Earnings = $400 + $250
• Total Earnings = $650

Therefore, the total earnings for the week would be $650, which is not one of the provided options.