commission: 10 percent on first $5,000.00; 15 percent over $5,000.00. find the total graduated commission on…
commission: 10 percent on first $5,000.00; 15 percent over $5,000.00. find the total graduated commission on $22,000.00.
Answer
Explanation:
Step1: Calculate commission on first $5000
The commission rate on the first $5000 is 10%. So the commission amount is $5000\times0.10$. $5000\times0.10 = 500$
Step2: Calculate amount over $5000
The total amount is $22000$. The amount over $5000 is $22000 - 5000=17000$. $22000 - 5000=17000$
Step3: Calculate commission on amount over $5000
The commission rate on the amount over $5000 is 15%. So the commission amount is $17000\times0.15$. $17000\times0.15 = 2550$
Step4: Calculate total commission
Add the two - part commissions together. $500+2550 = 3050$
Answer:
$3050$