Step 1: Let s = His total sales for the week.
Step 2: Write an equation for his total graduated commision.
Total Graduated
Commission = Commission on first $5,000 + Commission on sales over $5,000
Step 3: Solve for s.
$362 = (0.04 × $5,000) + [0.05(s – $5,000)]
$362 = $200 + 0.05s – $250
$362 = 0.05s – $50
$412 = 0.05s
$412/ 0.05s =0.05 /0.05s
$8,240 = S Mike’s total sales for the week must have been $8,240 to have a total graduated
commission of $362