Seth is paid on a graduated commission scale. He earns 10% commission on is first $1,000 in sales. He earns 15% commission on all sales over $1,000.
Last month, his total sales were $2,500. What was his total commission?
Group of answer choices
$125
$375
$325
$225
To calculate Seth's total commission, we need to find out the amount of sales that qualify for each commission rate.
First, we calculate the amount of sales that qualify for the 10% commission rate. Since Seth earns 10% commission on the first $1,000 in sales, the amount that qualifies for this rate is $1,000.
Next, we calculate the amount of sales that qualify for the 15% commission rate. Since Seth earns 15% commission on all sales over $1,000, the amount that qualifies for this rate is $2,500 - $1,000 = $1,500.
Now, we can calculate the commission amount for each rate.
For the 10% commission rate: $1,000 * 10% = $100
For the 15% commission rate: $1,500 * 15% = $225
Finally, we add these two commission amounts together to find Seth's total commission:
$100 + $225 = $325
Therefore, Seth's total commission for last month was $325.
To calculate Seth's total commission, we need to determine the commission earned on sales up to $1,000 and the commission earned on sales over $1,000.
First, let's calculate the commission earned on sales up to $1,000.
Commission on sales up to $1,000 = 10% of $1,000 = $100
Next, let's calculate the commission earned on sales over $1,000.
Sales over $1,000 = $2,500 - $1,000 = $1,500
Commission on sales over $1,000 = 15% of $1,500 = $225
Finally, let's calculate the total commission.
Total commission = Commission on sales up to $1,000 + Commission on sales over $1,000 = $100 + $225 = $325
Therefore, Seth's total commission for last month was $325.
To calculate Seth's total commission, we need to determine the commission earned for the first $1,000 in sales and the commission earned for the remaining sales over $1,000.
First, let's calculate the commission for the first $1,000 in sales:
Commission on first $1,000 = 10% of $1,000 = $100
Next, let's calculate the commission for the remaining sales over $1,000:
Remaining sales = Total sales - $1,000
Remaining sales = $2,500 - $1,000 = $1,500
Commission on remaining sales = 15% of $1,500 = $225
Now, we can find the total commission by adding the two commissions together:
Total commission = Commission on first $1,000 + Commission on remaining sales
Total commission = $100 + $225 = $325
Therefore, Seth's total commission for last month's sales of $2,500 was $325.