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14 January, 04:39

You are offered two different sales jobs. The first company offers a straight commission of 6% of the sales. The second company offers a salary of $ 310 per week plus 2% of the sales. How much would you have to sell in a week in order for the straight commission job to be at least as good as the salary based job?

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  1. 14 January, 04:40
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    Weekly Sales = 7750$

    Explanation:

    Let we Assume:

    x = Weekly Sales

    y = Weekly Earning

    Afterwards using the given information:

    First company offers only 6% commission on weekly sales which can be written as:

    y = 0.06x - Equation 1

    Second company offers 310$ per week plus 2% commission on weekly sales which may be written as:

    y = 310 + 0.02x - Equation 2

    By comparing equation 1 and equation 2 we have:

    0.06x = 310 + 0.02x; Comparing equation 1 & 2 as both equals to y

    0.06x - 0.02x = 310

    0.04x = 310;

    x = 310 / 0.04

    x = 7750 $

    So, we have to achieve weekly sales of 7750$ for the straight commission job to be at least as good as the salary based job.
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