Question

A salesman gets a commission on total sales at 9%. If the sale is exceeded ₹100000 he gets an additional commission as a bonus of 3% on the excess of sales over ₹100000.
If his total sales for the month is ₹150000. What is the total commission that he gets for the month?

• A. ₹15000
• B. ₹15500
• C. ₹16000
• D. ₹13500

Answer 1

The correct option is A ₹15000

Rate of commission = 9%
Total Sales = ₹150000
Commission = $9$%$of150000=\frac{9}{100}\times 150000=₹13500$
He gets an additional bonus of 3% on excess of sales over ₹100000.
Excess sales amount = ₹150000 - 100000 = ₹50000
Additional commission = $3$%$of50000=\frac{3}{100}\times 50000=₹1500$

Total commission for the month = ₹13500 + ₹1500 = ₹15000