Question

A person insures 26000. Through an insurance agent. If the agent gets 650 as the commission. Find the rate of commission

Answer 1

Answer:

conventional

(650/26000)*100 = 2.5

or

26000=100%

260=1%

650/260 = 2.5

(2.5 X 1 )%= 2.5%

Answer 2

Answer:

Suppose x is the rate of commission.

Total amount paid =26,000 Rs.

Commission = 650 Rs

Now, x= $\frac{commision}{total amount} *100 = \frac{100*650}{26000} = \frac{5}{2} =2.5$

Hence, the commission rate = 2.5%

Step-by-step explanation: