Question

Anita is allowed 6.5% commission on the total sales made by her, plus a bonus of ${\displaystyle \frac{1}{2}}$% on the sale over ₹ 20,000. If her total commission amounts to ₹ 3,400, find the sales made by her.

Answer 1

Let total sales made by Anita be ‘x’.

Rate of commission on total sales is 6.5%.

Commission earned = Total sales × Rate of commission

${\displaystyle =\text{x}\times \frac{6.5}{100}=\frac{6.5\text{x}}{100}}$

Sales above ₹ 20,000 = (x – 20,000)

On sales above ₹ 20,000, she gets ${\displaystyle \frac{1}{2}}$% bonus.

∴ Commission earned = ${\displaystyle (\text{x}-20000)\times \frac{0.5}{100}}$

${\displaystyle =\frac{0.5\text{x}-10000}{100}}$

Total commission earned is ₹ 3,400.

Total commission = Commission on total sales + Bonus on sales

∴ ${\displaystyle 3400=\frac{6.5\text{x}}{100}+\frac{0.5\text{x}-10000}{100}}$

∴ ${\displaystyle 3400=\frac{6.5\text{x}+0.5\text{x}-10000}{100}}$

∴ 340000 = 7x - 10000

∴ 340000 + 10000 = 7x

∴ 350000 = 7x

∴ x = 50000

∴ Total sales made by Anita is ₹ 50,000.