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7. standardized test practice richard klein works as an auto mechanic a…

Question

  1. standardized test practice richard klein works as an auto mechanic and earns the following commission rates: 3.00 percent for oil changes, 5.00 percent for tune - ups, and 6.25 percent on auto parts sales. he is guaranteed a minimum salary of $2,450.00 per month. last month he brought in $2,500.00 in oil changes, $4,500.00 in tune - ups, and sold $28,200.00 in parts. what is his gross pay for the month? a. $2,112.50 b. $2,450.00 c. $2,200.00 d. $5,016.00

Explanation:

Step1: Calculate oil - change commission

Commission from oil changes = 3.00% of $2,500.00 = 0.03×2500=\$75$

Step2: Calculate tune - up commission

Commission from tune - ups = 5.00% of $4,500.00 = 0.05×4500=\$225$

Step3: Calculate auto - parts sales commission

Commission from auto - parts sales = 6.25% of $28,200.00 = 0.0625×28200=\$1762.5$

Step4: Calculate total commission

Total commission = 75 + 225+1762.5=\$2062.5$

Step5: Calculate gross pay

Since the minimum salary is $2,450.00 and the total commission $2062.5<2450$, the gross pay is the minimum salary. So the gross pay is $\$2450$.

Answer:

B. $2,450.00$