Karen is a sales representative for a pharmaceutical company. She is paid an annual salary of $60,000 plus 8% commission on his sales total. During the past year Karen sold had a sales total of $204,000. What was her total pay for the year?

Answer 1

To calculate Karen's total pay for the year, we need to add her annual salary to her commission from the sales.

1. Calculate her commission:

   • Commission rate = 8%
   • Sales total = $204,000
   • Commission = (Commission rate) × (Sales total) \[ \text{Commission} = 0.08 \times 204,000 = 16,320 \]

2. Add her salary to her commission:

   • Annual salary = $60,000
   • Total pay = Annual salary + Commission \[ \text{Total pay} = 60,000 + 16,320 = 76,320 \]

Thus, Karen's total pay for the year is $76,320.