Question

You are a sales account executive earning $1500 per month plus 6% commission on the amount of sales. Your goal is to earn a minimum of $5100 per month. What amount of sales will enable you to earn $5100 or more per month?

Answer 1

$60000.

Explanation:

Total income needed is $5,100. Subtract the BASE pay of $1,500 to get the amount of commission needed to earn. This would be $3,600. The equation to solve for is: $3,600 is 6% of X. Take $3,600 and divide by .06 (or 6%). This gives you the answer of $60,000.

To check your work, take $60,000 and multiply by 6%. This will get you back to $3,600. Add back the $1,500 and you have $5,100. If you want to make more than $5,100, then increase your sales above $60,000.