Question

i have another worded problem. Please insipre me Southeast Appliance Mart (problem 4) offers service contracts with all appliance sales. To encourage sales-people such as Luisa to sell more service contracts, the company pays a commission of 20% on all servicecontracts. What will be her total pay for two weeks when she sells $42,000 worth of appliances and $1,200worth of service contracts?

Answer 1

$2,264.04

Therefore,

FV = P * [((1+r)^n - 1) / r]FV=P∗[((1+r)

n

Where P = Principal amount = $180

r = rate = 5% == 0.05

n = 10 years

= 180 *[((1+0.05)^1^0) / 0.05]

= $180 * 12.578

= $2,264.04

Therefore the Future Value is $2,264.04

Explanation:

nExplanation:

To find future value we use the formula:

Future Value = Annual payment × Future value annuity factor

−1)/r]