Question
David is paid on a graduated commission scale at Lotrex Company. He receives 2% commission on the first $20,000, 6% on sales from $20,000 to $70,000, 8.5% commission on sales from $70,000 to $100,000, and 10% commission on sales over $100,000. David had sales of $82,000. His commission is:
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Answer to a math question David is paid on a graduated commission scale at Lotrex Company. He receives 2% commission on the first $20,000, 6% on sales from $20,000 to $70,000, 8.5% commission on sales from $70,000 to $100,000, and 10% commission on sales over $100,000. David had sales of $82,000. His commission is:
Bud
4.696 Answers
First, calculate the commission for each tier of sales:
1. First $20,000:
2\% \text{ of } 20,000 = 0.02 \times 20,000 = 400
2. Next $50,000 (from $20,000 to $70,000):
6\% \text{ of } 50,000 = 0.06 \times 50,000 = 3,000
3. Next $12,000 (from $70,000 to $82,000):
8.5\% \text{ of } 12,000 = 0.085 \times 12,000 = 1,020
Add the commissions from each tier:
400 + 3,000 + 1,020 = 4,420
Thus, the total commission is
4,420
1. First $20,000:
2. Next $50,000 (from $20,000 to $70,000):
3. Next $12,000 (from $70,000 to $82,000):
Add the commissions from each tier:
Thus, the total commission is
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