Question

Calculating income with Commission

A salesperson earns $600 per month plus a commission of 20% of sales. Find the minimum amount of sales need to receive a total income of at least $1500 per month.

Answer 1

$4500

Explanation:

Step one:

given data

monthly earning= $600

commission =20%= 0.2

let the number of sales be x

and the total earnings be y

Hence the expression for the earnings is given as

y=0.2x+600

Step two:

Required:

the value of x. when y=$1500

1500=0.2x+600

1500-600=0.2x

900=0.2x

divide both sides by 0.2

x=900/0.2

x=4500

The minimum amount of sales need is $4500