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A company give 14% commission to his sal...

A company give `14%` commission to his salesman on total sales and `6%` bonus on the sales over `Rs.25000`. If the salesman deposit `Rs.57500` after deducting his earning from total sales. Find total sales.

A

`55000`

B

`70000`

C

`75000`

D

`65000`

Text Solution

AI Generated Solution

The correct Answer is:
To solve the problem step by step, we will break down the commission and bonus structure and then find the total sales based on the amount deposited by the salesman. ### Step 1: Understand the commission and bonus structure The salesman receives: - **14% commission** on total sales. - **6% bonus** on sales exceeding Rs. 25,000. ### Step 2: Let the total sales be \( x \) We need to express the earnings of the salesman in terms of \( x \). ### Step 3: Calculate the commission on total sales The commission on total sales is: \[ \text{Commission} = 14\% \text{ of } x = 0.14x \] ### Step 4: Calculate the bonus on sales over Rs. 25,000 If \( x \) exceeds Rs. 25,000, the bonus is calculated on the amount over Rs. 25,000: \[ \text{Bonus} = 6\% \text{ of } (x - 25000) = 0.06(x - 25000) \] ### Step 5: Total earnings of the salesman The total earnings of the salesman can be expressed as: \[ \text{Total Earnings} = \text{Commission} + \text{Bonus} \] Substituting the values we found: \[ \text{Total Earnings} = 0.14x + 0.06(x - 25000) \] ### Step 6: Simplify the total earnings expression Expanding the bonus term: \[ \text{Total Earnings} = 0.14x + 0.06x - 0.06 \times 25000 \] \[ \text{Total Earnings} = 0.14x + 0.06x - 1500 \] \[ \text{Total Earnings} = 0.20x - 1500 \] ### Step 7: Relate total earnings to the amount deposited According to the problem, the salesman deposited Rs. 57,500 after deducting his earnings from total sales. Thus: \[ x - \text{Total Earnings} = 57500 \] Substituting the expression for Total Earnings: \[ x - (0.20x - 1500) = 57500 \] ### Step 8: Solve for \( x \) Rearranging the equation: \[ x - 0.20x + 1500 = 57500 \] \[ 0.80x + 1500 = 57500 \] Subtracting 1500 from both sides: \[ 0.80x = 57500 - 1500 \] \[ 0.80x = 56000 \] Now, divide both sides by 0.80: \[ x = \frac{56000}{0.80} \] \[ x = 70000 \] ### Final Answer The total sales made by the salesman is **Rs. 70,000**. ---
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