SOLUTION: On your new Job you can be paid in 1 of 2 ways. Plan A: A salary of $500per month plus a commission of 4% of total sales Plan B: A salary of $750 per month plus a commission of 5

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Question 50082This question is from textbook Algebra 2 with Trigonometry
: On your new Job you can be paid in 1 of 2 ways.
Plan A: A salary of $500per month plus a commission of 4% of total sales
Plan B: A salary of $750 per month plus a commission of 5%of total sales over $8000
For what amount of sales is Plan B better than Plan A, assuming that total sales are always more than $8000?
This question is from textbook Algebra 2 with Trigonometry

Answer by Earlsdon(6294) About Me  (Show Source):
You can put this solution on YOUR website!
Plan A: (Let S = sales amount in dollars and A = salary).
A = $500 + 0.04S
Plan B: S = sales amount in dollars and B = salary)
B = $750 + 0.05(S-$8,000) Write the inequality:
B > A
$750+0.05(S-$8,000) > $500+0.04S Simplify and Solve for S.
$750+0.05S-$400 > $500+0.04S
$350+0.05S > $500+0.04S Subtract 0.04S from both sides of the inequality.
$350+0.01S > $500 Subtract $350 from both sides.
0.01S > $150 Finally, divide both sides by 0.01
S > $15,000
Check: For $15,001 in sales.
Plan A
A = $500 + 0.04($15,001)
A = $500 + $600.04
A = $1,100.04
Plan B
B = $750 + 0.05($15,001-$8,000)
B = $750 + 0.05($7,001)
B = $750 + $350.05
B = $1,100.05
So plan B pays better if sales are greater than $15,000