Question

10.) Alice McGuiness sells printers at Office Express. She

receives a graduated commission of 5% on her first $4,000 and
8% on all sales over $4,000. Her sales total was $6,980 this
past week. What is her commission for the week?

Answer 1

$438.4

Explanation:

According to question commission of Alice is composed of fixed part which is 5% of her first 4000 sales

and 8% on all sales over $4,000

Alice's total sale = $6,980

value of sale above 4000 = $6,980 - $4,000 = 2,980

now commission for first 4000 sales = 5% of 4000 = 0.05* 4000 = $200

commission for remaining sales = 8% of 2,980 = $238.4

Total commission of Alice = $200 + $238.4 = $438.4