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Can someone help me with this consumer math problem?

I find it so confusing!!!

John is manager of the Phone shop in Northland Mall. He recieves a yearly salary of 24,000 plus sales bonuses. He earns a 5% bonus on monthly sales about 40,000 and 10% bonus on monthly sales above 50,000. Hes paid every 2 weeks and his bonus for the previous month is divided equally between his 2 paychecks in the current month.

A. Determine Bi-Weekly Salary

B. Sales for the previous month were $63,432.96. Determine his bonus for the month and divide by 2. Round to the nearest cent.

Add A and B

They are just a few of the questions and i find the bonus stuff so confusing. If someone can help me figure this out , it'd be greatly appreciated!

3 Answers

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  • 1 decade ago
    Favorite Answer

    I'm not going to do your Homework for you pay attention in class

    Thank you,

    Lenin Patino

    http://www.leninpatino.com/

  • 1 decade ago

    Bi Weekly Salary = Annual Salary divided by 26 (number of pay periods in a year)...

    in John's case it = $923.08

    If John earns a 5% bonus on 40,000 sales goal and he hits at least 40,000,

    his bonus is 2,000...5% of 40,000.

    John did a GREAT job though and far exceeded his goal!! So, John gets a 10% bonus on sales above 50,000.

    If sales were 63432.96, John's 10% bonus would be determined from the 13,432.96 in sales that were over the 50,000 mark.

    10% of that is 1343.30 (rounded up).

    So, add John's 2 bonuses together and you get 3343.30.

    Since his bonus is split between his two paychecks you have to divide by 2.

    I came up with 1671.65.

    So, John's paycheck would actually be 2594.73 (presumably before taxes and other deductions).

    I hope this helps AND I hope I'm right. ; )

  • 1 decade ago

    A. 24,000/26 would give biweekly salary (26 pay periods in a year)

    = 923.08

    B. Bonuses:

    (63,432.96-50,000) x 10%

    (63,432.96-50,000-40,000) x 5% (we already calculated the bonus above $50k so we don't need to double calculate the bonus)

    $1643.30 + $500.00 = $2143.30 divided by 2 = $1071.65

    Total is $1994.73

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