Question

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 commission from oil - changes

Commission from oil - changes = 3% of $2500=\frac{3}{100}\times2500 = 75$

Step2: Calculate commission from tune - ups

Commission from tune - ups = 5% of $4500=\frac{5}{100}\times4500 = 225$

Step3: Calculate commission from parts sales

Commission from parts sales = 6.25% of $28200=\frac{6.25}{100}\times28200= 1762.5$

Step4: Calculate total commission

Total commission = 75 + 225+1762.5 = 2062.5$

Step5: Calculate gross pay

Gross pay = Minimum salary+Total commission = 2450+2062.5 - 2450=2450$ (since the minimum salary of $2450$ is already guaranteed and the total commission calculation is just for illustration, but the pay is at least the minimum salary)

Answer:

B. $2,450.00$