Simple Interest/Commissions

Front

What is Simple Interest?

Back

Simple Interest is the interest calculated on the principal amount, or the original amount of money, that is deposited or borrowed. It is calculated using the formula: Simple Interest = Principal × Rate × Time.

Front

What is a Commission?

Back

A commission is a fee paid to an employee or agent for services rendered, typically calculated as a percentage of the sales they make.

Front

How do you calculate the total sales from commission earned?

Back

To find total sales from commission, use the formula: Total Sales = Commission Earned / Commission Rate.

Front

If Emma earns 8% commission and earns $192, what are her total sales?

Back

Total Sales = $192 / 0.08 = $2,400.

Front

What is the formula to find the commission earned?

Back

Commission Earned = Total Sales × Commission Rate.

Front

If Timothy sells 6 toasters at $20 each, what is his total sales?

Back

Total Sales = 6 toasters × $20/toaster = $120.

Front

How do you find the commission earned from sales?

Back

To find the commission earned, multiply the total sales by the commission rate.

Front

What is the commission rate if Sara earned $3,500 on $125,000 in sales?

Back

Commission Rate = (Commission Earned / Total Sales) × 100 = ($3,500 / $125,000) × 100 = 3%.

Front

If Danielle sells $895 worth of beauty supplies and earns a 9% commission, how much is her commission?

Back

Commission = $895 × 0.09 = $80.55.

Front

What is the total earnings for Danielle if she has a base salary of $450 and earns $80.55 in commission?

Back

Total Earnings = Base Salary + Commission = $450 + $80.55 = $530.55.