Question

Carmen earns a base salary of $125,000, a commission of 4% of her total sales, and a performance bonus of $25,000. If her total compensation last year was more than $350,000, what was the least her total sales could be?

Answer 1

$5,000,0000= total sales

Explanation:

Giving the following information:

Commission rate= 4%

First, we need to calculate the total commission earned:

Commission= 350,000 - 125,000 - 25,000

Commission= $200,000

Now, using the following formulas, we can determine the total sales:

Commission= total sales*commission rate

200,000= total sales*0.04

200,000/0.04= total sales

$5,000,0000= total sales