Question

richard klein works as auto mechanic and earns the following commission rates 3.00 percent for oil changes 5.00 percent for tune ups and 6.25 percent on auto parts sales he is guaranteed a minimum salary of $2,450.00 per month last month he brought in $2,500.00 in oil changes $4,500.00 in tune ups and sold $28,200.00 in parts what is his gross pay for the month

Answer 1

His gross pay for the month is $4,509.50

Explanation:

The commission Richard Klein earns for oil change = 3.00%

The commission he earns for tune ups = 5.00%

The commission he earns for auto parts sales = 6.25%

The minimum salary he is guaranteed = $2,450.00

The amount he brought in last month includes;

1) $2,500.00 in oil changes

2) $4,500 in tune ups

3) Sold $28,200.00 in parts

The amount he earns last month in commission are;

3/100 × 2,500 = 75 in oil changes

5/100 × 4,500 = 225 in tune ups

6.25/100 × 28,200 = 1762.5 in parts sold

The total commission = 72 + 225 + 1762.5 = 2,059.5

∴ The total commission = $2,059.5

The amount he makes as salary = $2,450.00

Richard Klein's gross pay for the month = His total pay for the month

Therefore;

Richard Klein's gross pay for the month = $2,059.5 + $2,450 = $4,509.5