Question

a wallpaper salesman earns a base pay of $15,600 per year and a commission of 16% of all sales made. if he sold $25,400 worth of merchandise last year, what were his total earnings last year?

$36,936
$27,896
$38,504
$19,664

Answer 1

To calculate the total earnings of the wallpaper salesman, we need to consider both his base pay and the commission he earns from his sales.

1. **Base Pay:**
\[
\text{Base Pay} = 15,600 \text{ dollars}
\]

2. **Sales Amount:**
\[
\text{Sales} = 25,400 \text{ dollars}
\]

3. **Commission Rate:**
\[
\text{Commission Rate} = 16\% = 0.16
\]

4. **Commission Earned:**
\[
\text{Commission} = \text{Sales} \times \text{Commission Rate} = 25,400 \times 0.16
\]
\[
\text{Commission} = 4,064 \text{ dollars}
\]

5. **Total Earnings:**
\[
\text{Total Earnings} = \text{Base Pay} + \text{Commission} = 15,600 + 4,064
\]
\[
\text{Total Earnings} = 19,664 \text{ dollars}
\]

Thus, the salesman’s total earnings last year were **$19,664**.

The correct answer is **$19,664**.