Question

11 a software sales company pays its employees an annual base salary of $48,000 plus a 12% commission on sales. if an employee is paid biweekly and made $3,900 in sales last pay period, what was this employees gross pay?

Explanation:

Step1: Calculate bi - weekly base pay

The annual base salary is $48000. There are 26 bi - weekly periods in a year. So the bi - weekly base pay is $\frac{48000}{26}\approx1846.15$.

Step2: Calculate commission for the pay period

The commission rate is 12% or 0.12, and the sales in the pay period is $3900. The commission is $0.12\times3900 = 468$.

Step3: Calculate gross pay

The gross pay is the sum of the bi - weekly base pay and the commission. So it is $1846.15+468=2314.15$.

Answer:

$2314.15$