You Are Choosing Between Two Jobs

question 29

Multiple Choice

You are choosing between two jobs. Job one pays $10 per hour for 32 hours per week. Job 2 pays $8 per hour plus a commission of 10% of your sales again based on 32 hours per week. At what amount of sales is your weekly pay the same at the two jobs? Let s be your amount of sales and let p be amount of pay. Use the table of values to solve the system.

• A) at sales of $100
• B) at sales of $300
• C) at sales of $640
• D) at sales of $700

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Definitions:

Bad Debts Expense

An expense account representing the estimated amount of receivables that a company does not expect to collect.

Depreciating

The process of allocating the cost of a tangible asset over its useful life, reflecting a decrease in its value over time.

Accounts Receivable

Amounts owed to a business by customers for goods or services delivered but not yet paid for, represented as a current asset on the balance sheet.

Allowance Method

A method in accounting used to estimate bad debts expense by anticipating which accounts receivable may not be collected.