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29 January, 15:01

Jean Gray earns a graduated commission of 4% on her first $2000 of sales and 8% on all sales over $2000. Jeans sales for the past week totaled $3,925. What was her commission for the week?

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  1. 29 January, 18:16
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    Jean Gray's total earnings over the past week was $3,925

    Since Jean earns 4% for the first $2,00 business she does, she earns a base commission of = $2,000*0.04 = $80

    Now, we need to find how of additional sales did Jean do over and above the base of $2,000. This is calculated as follows:

    Total Sales = 3,925

    Base sales = 2,000

    Add-on sales = 3,925-2,000 = 1,925

    For the $1,925 sales, Jeans earns 8% commission, her commission for this will be 1,925*0.08 = $154

    So, the total commission = $80 + $154 = $234

    Her commission for the week was $234
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