Variable Earnings Answers

The earnings of two employees are given below:Employee A: 6% commission on all salesEmployee B: 4% commission on the first $80,000 and 8% on anything over $80,000How much more does a straight commission employee make than the graduated commission employee for sales of $100,000? a.$1,200b.$1,600c.$2,000d.$3,200

Athena priced each of her art pieces at the same price and displayed them for sale in two different art shows. She made $495.80 from the first art show and $371.85 from the second show. If Athena sold 7 pieces of art, what price did each piece sell for?a.$109.52b.$109.66c.$123.81d.$123.95

Erica sells magazine subscriptions and makes a flat rate of $5.35 for each subscription she sells. If Erica made $42.80 on Monday, $64.20 on Tuesday and $74.90 on Wednesday, how many subscriptions did she sell in the three days?a.32b.33c.34d.35

Choose the method of pay that would result in the most earnings for one month on sales of $60,000.a.Straight commission of 6% on all sales.b.Monthly salary of $1,500 plus 3% commission on all sales.c.Graduated commission of 4% on the first $50,000 in sales and 10% on anything over that.d.Graduated commission of 5% on the first $40,000 in sales and 9% on anything over that.

The table below shows the earnings, in thousands of dollars, for three different commissioned employees. $2,000 + 3% on all sales7% on all sales5% on the first $40,000 + 8% on anything over $40,000December4.45.65.2January3.53.853.6February4.74.94.4Who had the largest dollar amount in sales for the month of January?a.The salary plus commission employee.b.The straight commission employee.c.The graduated commission employee.d.They each had the same dollar amount in sales.

Which of the following statements is always true? a. Workers being paid on commission make less money than if they are salaried. b. Workers being paid on commission have a salary that varies based on their performance. c. Workers being paid on commission are stressed over the amount of earnings they will have. d. Workers being paid on commission increase the accounting costs of the employer. Please select the best answer from the choices provided

Max has a monthly salary of $1,100 and also earns 7.5% commission on his sales. If Max had $43,000 in sales last month, what were his total earnings for the month?a.$3,225b.$4,050c.$4,325d.$5,150

A restaurant worker earns a set amount per hour from their employer. They also receive tips from customers. Their earnings most closely resemble those of which of the following? a. An employee working on straight commission b. An employee working on commission plus salary c. An employee working on a piece-rate basis d. An employee working on a fixed salary Please select the best answer from the choices provided

Which of the following employees derives their income from a fee for the items sold?a.commissionb.piece ratec.salariedd.tip

A graduated commission employee makes 3.5% interest on the first $50,000 in sales and 6.5% interest on all sales over $50,000. Which of the following expressions represents the employee’s total earnings on $81,500 in sales?a.(0.035)(50,000) + (0.065)(81,500)b.(0.035)(50,000) + (0.065)(31,500)c.(0.35)(50,000) + (0.65)(31,500)d.(3.5)(50,000) + (6.5)(31,500)