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Johnny Deep, a salesman in Parker pens gets the commission on total sales at 8%. If the sale exceeds Rs. 10,000, he gets an additional commission as a bonus of 4% on the excess of sales over Rs. 10,000. If he gets Rs. 950 as the total commission, then calculate the bonus he received?

  • a)
    Rs. 40

  • b)
    Rs. 50

  • c)
    Rs. 36

  • d)
    Rs. 48

  • e)
    None of these

Correct answer is option 'B'. Can you explain this answer?
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Most Upvoted Answer
Johnny Deep, a salesman in Parker pens gets the commission on total sa...
Given∶
He gets a commission of 8% on the total sales.
An additional commission of 4% if sales exceed over Rs. 10,000.
Total commission = Rs. 950
Commission upto 10,000 = 10000 × 8100 = Rs. 800
Ratio of commission to that of bonus = 8x : 4x
= 2x:x
= 2:1
Sum of the ratio = 2 + 1 = 3
So,
Bonus
= (950−800) × (1/3)
= 150 × (1/3)
= 50
∴ The total bonus received is Rs. 50.
Hence, the correct option is (B).
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Community Answer
Johnny Deep, a salesman in Parker pens gets the commission on total sa...
Understanding the Commission Structure
Johnny Deep earns a commission based on his sales, which consists of two components:
- Base Commission: 8% on total sales.
- Bonus Commission: An additional 4% on any sales exceeding Rs. 10,000.
Given Information
- Total commission received = Rs. 950
- Let the total sales be Rs. X.
Calculating the Total Commission
The total commission can be expressed as:
Total Commission = Base Commission + Bonus Commission
- Base Commission = 8% of X = 0.08X
- Bonus Commission = 4% of (X - 10,000) if X > 10,000 = 0.04(X - 10,000)
Thus, the equation becomes:
0.08X + 0.04(X - 10,000) = 950
Simplifying the Equation
- Expanding the bonus commission term gives:
0.08X + 0.04X - 400 = 950
- Combining like terms results in:
0.12X - 400 = 950
- Solving for X:
0.12X = 950 + 400
0.12X = 1350
X = 1350 / 0.12
X = Rs. 11,250
Calculating the Bonus
Now, to find the bonus:
- Sales exceeding Rs. 10,000 = 11,250 - 10,000 = 1,250
- Bonus = 4% of 1,250 = 0.04 * 1,250 = Rs. 50
Conclusion
Thus, the bonus Johnny received is Rs. 50, confirming that the correct answer is option B.
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Johnny Deep, a salesman in Parker pens gets the commission on total sales at 8%. If the sale exceeds Rs. 10,000, he gets an additional commission as a bonus of 4% on the excess of sales over Rs. 10,000. If he gets Rs. 950 as the total commission, then calculate the bonus he received?a)Rs. 40b)Rs. 50c)Rs. 36d)Rs. 48e)None of theseCorrect answer is option 'B'. Can you explain this answer?
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