A salesman received a basic salary of sh 50000 a year together with a commission of 6% on the value of goods sold and a car allowance of sh 2.50 per km.If the next year he travels 12000km and receives a total of sh 134000.Calculate the value of goods sold.
Let's start by using the given information to set up some equations.
Let's denote the value of goods sold as x.
From the information given, we know that the salesman's earnings for the year were the sum of his basic salary, commission, and car allowance:
50000 + 0.06x + (2.5 * 12000) = 134000
Simplifying this equation:
50000 + 0.06x + 30000 = 134000
0.06x = 54000
x = 900000
So the value of goods sold by the salesman for the year was sh 900,000.
Let's break down the information provided step-by-step:
Step 1: Calculate the total amount received (including basic salary, commission, and car allowance):
Total amount = Basic salary + Commission + Car allowance
Given:
Basic salary = sh 50000
Car allowance per km = sh 2.50
Distance traveled (km) = 12000
Total amount received = sh 134000
We need to calculate the commission and car allowance first.
Step 2: Calculate the commission received.
Commission = 6% of the value of goods sold.
To find the value of goods sold, let's assign it as 'x'.
Commission = 6% × x
Step 3: Calculate the car allowance.
Car allowance = Car allowance per km × Distance traveled
Car allowance = sh 2.50 × 12000
Now we have all the necessary information to calculate the total amount received.
Step 4: Plug in the values to calculate the total amount received:
Total amount = Basic salary + Commission + Car allowance
sh 134000 = sh 50000 + (6% × x) + (sh 2.50 × 12000)
Step 5: Solve the equation for 'x' to find the value of goods sold:
sh 134000 = sh 50000 + (0.06x) + (sh 2.50 × 12000)
Step 6: Simplify the equation:
sh 84000 = (0.06x) + sh 30000
Step 7: Move sh 30000 to the left side of the equation:
sh 84000 - sh 30000 = 0.06x
Step 8: Simplify the equation further:
sh 54000 = 0.06x
Step 9: Divide both sides of the equation by 0.06 to solve for 'x':
x = sh 54000 / 0.06
Step 10: Perform the division to calculate the value of goods sold:
x = sh 900000
Therefore, the value of goods sold is sh 900,000.