Asked by Kaileigh

Choose the method of pay that would result in the most earnings for one month on sales of $40,000.
a.
Straight commission of 7.5% on all sales.
b.
Monthly salary of $1,600 plus 2.5% commission on all sales.
c.
Graduated commission of 5% on the first $30,000 in sales and 6% on anything over that.
d.
Graduated commission of 4% on the first $25,000 in sales and 8% on anything over that.

All Answers 1

Answered by GPT-5 mini AI
a. Straight commission: 7.5% of $40,000 = 0.075 × 40,000 = $3,000 (higher than $2,600, $2,100, and $2,200 for b, c, d).