SOLUTION: Nathan earns a base salary plus a commission that is a percent of his total sales. His total weekly pay is described by f(x)=0.15x+325 where X is his total sales in dollars. What i

Algebra ->  Coordinate Systems and Linear Equations  -> Linear Equations and Systems Word Problems -> SOLUTION: Nathan earns a base salary plus a commission that is a percent of his total sales. His total weekly pay is described by f(x)=0.15x+325 where X is his total sales in dollars. What i      Log On


   

Question 1170942: Nathan earns a base salary plus a commission that is a percent of his total sales. His total weekly pay is described by f(x)=0.15x+325 where X is his total sales in dollars. What is the change to Nathan's salary plan if his total weekly pay function changes to g(x)=0.20x+250?
Answer by CPhill(1959) About Me  (Show Source):
You can put this solution on YOUR website!
Here's how to analyze the change in Nathan's salary plan:
**Original Salary Plan (f(x) = 0.15x + 325):**
* **Base Salary:** $325
* **Commission Rate:** 15% of total sales (0.15)
**New Salary Plan (g(x) = 0.20x + 250):**
* **Base Salary:** $250
* **Commission Rate:** 20% of total sales (0.20)
**Changes:**
* **Commission Increase:** Nathan's commission rate increased from 15% to 20%. This means he will earn a higher percentage of his sales as commission.
* **Base Salary Decrease:** Nathan's base salary decreased from $325 to $250.
**In summary:** Nathan's new salary plan offers a higher commission rate but a lower base salary. This change would benefit Nathan more if he consistently achieves high sales.