Using proportions, it is found that the difference between the two salary options each year is of $5,545.
A proportion is a fraction of a total amount, and the measures are related using a rule of three. Due to this, relations between variables, either direct or inverse proportional, can be built to find the desired measures in the problem.
For the first option, $115 per week plus 9.5% commission on the associate’s total sales, the yearly salary is:
115 x 52 + 0.095 x 125000 = $17,855.
For the second option, $450 per week with no commission, the yearly salary is:
450 x 52 = $23,400.
Hence the difference is given as follows:
23400 - 17855 = $5,545.
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