SAT Math Questions - Money

Question

Each week Sally, a salesperson in Eddie's Electronic Emporium, receives a base pay of $300 plus a commission on the dollar amount of her sales. During any week when the total value of her sales is $5,000 or less, her commission is 10%. During those weeks when the total value of her sales exceeds $5,000, her commission is 12% of the entire amount. Last year during the first week of February, she earned $1,080. What was the total value of her sales that week?

Answer 1

Sally earned $780 in commission ($1080 - $300)

Sales were more than $5000. $780 > (10%)(5000)

780 = 0.12(s)

Answer 2

300 + .12S = 1080

.12S = 1080-300 = 780

S = 780/.12 = $6,500 = Total value of sales for the 1st week of February

$300 + 12% of $6500 = $1080

try this using 10% and you get total sales over $5,000

300 + .10S = 1080

.10S = 1080-300 = 780

S = 780/.10 = 7800>5000, so the commission must be 12%, with total sales $6,500