A salesman receives 3% commission on the sales up to Rs. 50,000 and 4% commission on the sales over Rs. 50,000. Find his total income on the sale of Rs. 2,00,000.
Answers
Given:
The salesman receives 3% commission on sales up to Rs 50,000 and 4% commission on the sales over Rs. 50,000
To find:
The total income of the salesman on a sale of Rs 2,00,000
Solution:
The salesman receives 3% commission on sales up to Rs. 50,000
∴ The amount of commission received on the sales up to Rs. 50,000 will be,
= 3% of Rs. 50,000
=
= Rs. 1500
Now, for the sales over Rs. 50,000, there is 4% commission,
∴ The amount of commission received on the sale of (Rs. 2,00,000 - Rs. 50,000 =) Rs. 1,50,000 will be,
= 4% of Rs. 1,50,000
=
= Rs. 6000
∴ The total income on the sale of Rs. 2,00,000 is,
= [Amount of commission received on the sales up to Rs. 50,000] + [Amount of commission received on the sale of Rs. 1,50,000]
= Rs. 1500 + Rs. 6000
= Rs. 7500
Thus, his total income on the sale of Rs. 2,00,000 is Rs. 7500.
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