Question

Tamara earns her living as a salary plus commission employee. Her annual salary is $48,000, and she earns 4% commission on all sales she makes. If Tamara wants to make a total of $6,000 this month, how much in sales does she need to have?
a.
$30,000
b.
$50,000
c.
$100,000
d.
$150,000

Answer 1

Her monthly base pay = 48,000 / 12 = $4,000.
She needs an extra 6,000 − 4,000 = $2,000 from commission.
At 4% commission, sales = 2,000 / 0.04 = $50,000.

Answer: b. $50,000