Question

8. Ann Wills is offered a sales job with two firms. Boden Tools offers her a salary of $800 a month, a
commission of 3% on total monthly sales, and 3% more on monthly sales over $75,000. Sentor, Inc.
offers her a commission of 2.5% on the first $45,000 of monthly sales, 4.5% on the next $20,000 of
monthly sales, and 7% on all monthly sales over $65,000. If Ann could average $87,000 in sales a month
at either job, at which job could she earn more per month, and how much more?

Answer 1

Ann will earn more at Sentor Inc. as she will earn $1955 more.

Based on the information given in the question, the earnings from the companies will be:

Boden Tools:

= $800 + (3% × $87000) + (3% × $87000)

= $800 + $2610 + $2610

= $6020

Sentor Inc.

= (2.5% × $45000) + (4.5% × $20000) + (7% × $85000)

= $1125 + $900 + $5950

= $7975

Difference in earnings = $7975 - $6020 =  $1955

Therefore, based on the calculation above, she'll earn more at Sentor Inc. She will earn $1955 more.

Read related link on:

https://brainly.com/question/24681722