Choose the method of pay that would result in the most earnings for one month on sales of $73,620. A. Straight commission of 6% on all sales. B. Monthly salary of $3,000 plus 2% commission on all sales. C. Graduated commission of 4% on the first $50,000 in sales and 9% on anything over that. D. Graduated commission of 5% on the first $35,000 in sales and 7% on anything over that. Please select the best answer from the choices provided A B C D.

Respuesta :

The highest-earning method is the monthly salary of $3000 plus 2% commission on all sales.

Option B shows the correct method for most earnings.

What is the commission?

A commission is a percentage of total sales as determined by the rate of commission.

Given that the monthly sale is $73620. We need to calculate the money earned in each method to determine the best method to pay most earnings.

A: Straight commission of 6% on all sales.

Commission = [tex]\dfrac {6}{100} \times \$73620[/tex]

Commission = $4417.2

Money earned = $4417.2

B: Monthly salary of $3,000 plus 2% commission on all sales.

Commission = [tex]\dfrac {2}{100} \times \$73620[/tex]

Commission = $1472.4

Money earned = $ 3000 + $1472.4

Money earned = $4472.4

C: Graduated commission of 4% on the first $50,000 in sales and 9% on anything over that.

Commission = [tex]\dfrac {4}{100} \times \$50000 + \dfrac {9}{100} \times \$23620[/tex]

Commission = $4125.8

Money earned = $4125.8

D: Graduated commission of 5% on the first $35,000 in sales and 7% on anything over that.

Commission = [tex]\dfrac {5}{100} \times \$35000 + \dfrac {7}{100} \times \$38620[/tex]

Commission = $4453.4

Money earned = $4453.4

Hence we can conclude that the highest-earning method is the monthly salary of $3000 plus 2% commission on all sales.

To know more about the commission, follow the link given below.

https://brainly.com/question/929522.

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