Question

8. Beth doesn’t begin receiving commission until she reaches $50,000 in sales. After that, her commission rate is 12%. If she ends up selling cars totaling $115,000, how much money would she make in commission?

A.$13,800
B.$6,000
C.$7,800
D.$8,400

Answer 1

Explanation:

she is the only sales agent selling cars after totaling them ... :-)

she makes 12% commission on the amount of sales beyond $50,000.

so, total sales was $115,000.

the base for her commission is then

115,000 - 50,000 = $65,000

she gets 12% of these $65,000.

100% = $65,000

1% = 100%/100 = 65,000/100 = $650.

12% = 1%×12 = 650 × 12 = $7,800

so, C is the right answer.