SOLUTION: Toni can be paid in one of two ways: a) a salary of $400 per month, plus a commission of 8% of gross sales b) a salary of $610 per month, plus a commission of 5% of gross sales

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Question 183712: Toni can be paid in one of two ways:
a) a salary of $400 per month, plus a commission of 8% of gross sales
b) a salary of $610 per month, plus a commission of 5% of gross sales
For what amount of gross sales should Toni select plan A?
Answer by stanbon(75887) About Me  (Show Source):
You can put this solution on YOUR website!
Toni can be paid in one of two ways:
a) a salary of $400 per month, plus a commission of 8% of gross sales
A(x) = 400 + 0.08x where x is Toni's sales for a month.
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b) a salary of $610 per month, plus a commission of 5% of gross sales
B(x) = 610 + 0.05x
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For what amount of gross sales should Toni select plan A?
A(x) > B(x)
400 + 0.08x > 610 + 0.05x
0.03x > 210
x > $7000.00
A will be a better salary if Toni's monthly salary is greater than $7000.
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Cheers,
Stan H.
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