Under Plan A, Corrine is paid a monthly salary of $600 plus a commission of 6% on total sales for the month. Under Plan B, she is paid $800 plus a commission of 5% on the total sales for the month.

Question

What is the amount of sales for the month Corrine would have to make for which Plan B would be equal to Plan A?

Answer 1

600 + .06S = 800 + .05S

.01S = 800-600= 200

S = 200/.01 = $20.000