Question

You are considering 2 jobs. One job pays $350 per week plus 2% commission on all sales. The second job pays $1,200 per month and 2.5% commission on all sales. Assuming sales of $1,000,000 during the year, which job pays the best

Answer 1

If the year is 52 weeks long (the average amount of weeks in a year).
$350.00*52= $18,200.00
$1200.00*12= $14,400.00
2.5% of 1,000,000=25,000
2% of 1,000,000=20,000
$18,200.00+20,000= $38,200.00
$14,400.00+25,000= $39,400.00
The second (2nd) job pays better.

Answer 2

The second job pays the best.

Explanation:

Total amount of sales during the year is $1000000.

First job pays $350 per week plus 2% commission on all sales.

There are 52 weeks in a year.

So, the total amount of payment from first job

`=(\$350* 52)+(2\%\ of\ \$1000000)\\ \\ =(\$ 18200)+(0.02* \$1000000)\\ \\ =\$18200+\$ 20000\\ \\ =\$ 38200`

The second job pays $1,200 per month and 2.5% commission on all sales.

There are 12 months in a year.

So, the total amount of payment from second job

`=(\$1200* 12)+(2.5\%\ of\ \$1000000)\\ \\ =(\$ 14400)+(0.025* \$1000000)\\ \\ =\$14400+\$ 25000\\ \\ =\$ 39400`

As
`\$ 39400>\$ 38200`

Thus, the second job pays the best.