Mike works as a sales associate at a retail store. He is normally paid 15% of the total retail value of the merchandise he sells, but he may also earn a bonus. When he earns a bonus, he is paid an additional 10% of his normal pay.
During one pay period, Mike sold $1300 in merchandise and earned a bonus. How much was he paid, in dollars, for this pay period?
Mike is paid 15% of the total retail value of his merchandise:
pay=0.15(1,300)
pay=195
His bonus is 10% of his normal pay:
bonus=0.10(195)
bonus=19.5
total pay=195+19.5
total pay=$214.50
We could have also done this in one step:
total pay=1,300(0.15)(1.1)
=$214.50