Question

A sales representative is given a choice of two paycheck plans. One choice includes a monthly base pay of $300 plus 10% commission on his sales. The second choice is a monthly salary of $1200. For what amount of sales would the representative make more money with the first plan?( if you can do it step by step it would be amazing )Thanks :)

Answer 1

The plan A is a base pay of 300 + 10% (0.1) of his sales (which we would call x).

Plan A = 300 + 0.1x

The plan B is a total pay of 1200 (it does not matter how much he sold).

The question is, what amount of sales (the value of x) that would make plan A to be greater than plan B?

The solution is shown below;

$\begin{gathered} A=300+0.1x \\ B=1200 \\ \text{The value of x that would make A greater than B is;} \\ 300+0.1x>1200 \\ \text{Subtract 300 from both sides and you have} \\ 300-300+0.1x>1200-300 \\ 0.1x>900 \\ \text{Divide both sides by 0.1} \\ x>9000 \end{gathered}$

The results of the calculation shows that the sales representative must