Subjects algebra

Commission Calculation E01C49

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1. **State the problem:** Mary sells $28,000 worth of furniture and has already received a draw of $766.15. We need to calculate how much commission is still owed to her based on the incremental commission rates. 2. **Commission rates and sales brackets:** - Level 1: $0 to $11,700 at 3.3% commission - Level 2: $11,700 to $21,200 at 4.1% commission - Level 3: Over $21,200 at 4.9% commission 3. **Calculate commission for each level:** - Level 1 commission: $11,700 \times 0.033 = 386.10$ - Level 2 commission: $(21,200 - 11,700) = 9,500$ sales at 4.1% commission $$9,500 \times 0.041 = 389.50$$ - Level 3 commission: $(28,000 - 21,200) = 6,800$ sales at 4.9% commission $$6,800 \times 0.049 = 333.20$$ 4. **Total commission earned:** $$386.10 + 389.50 + 333.20 = 1,108.80$$ 5. **Calculate commission still owed:** Mary has already received a draw of $766.15, so the commission still owed is: $$1,108.80 - 766.15 = 342.65$$ **Final answer:** Mary is still owed $342.65 in commission.