Question

Colby makes a 6% commission on all sales at Kay Jewelers. He sold $35K in jewelry week 1, $14K in week 2, $24K in week 3 and $39K in week 4. He is taxed at a flat rate of 22%. What was his straight commission total? What was the total after taxes?

Answer 1

Answer:

$7.32K or $ 7,320  and $5.7098K or $5,709.8

Explanation:

Colby total sales : 14K

Week I: $35 K

week 2: $14 K

week 3: $24 K

week 4: $39 K

Total sales were $122 K($ 35+14+24+39)

Straight commissions total are 6% of all sales

=6/100 x $122

= $7.32K or $ 7,320

the total after taxes

The tax rate is 22%

Actual tax = 22/100 x $7.32

=0.22 x $7.32

=$1.6106

After tax = 7.32- 1.6102

=$5.7098K or $5,709.8