During His First Month of Employment,Micah Took a Draw of 5

question 30

Multiple Choice

During his first month of employment,Micah took a draw of 5% against his minimum sales amount of $15,000 in monthly sales that must be deducted from his pay during the first month that he reaches his minimum sales amount.He receives $18,000 annually in base salary plus a 5% commission on his sales.He receives his base salary on a semimonthly basis and receives his commissions on the final pay date of each month.During his second month of employment,Micah sold $24,000 of equipment.What is Micah's gross pay for the end of the second month of employment?

• A)$1,950.00
• B)$1,500.00
• C)$1,350.00
• D)$1,200.00

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Definitions:

Compound Interest

A method of calculating interest where the interest is added to the principal so that, from that moment on, the interest that has been added also earns interest.

Exponential Decay

A process by which a quantity decreases at a rate proportional to its current value.

Financial Calculation

The process of crunching numbers to determine outcomes related to investments, savings, profitability, and other financial metrics.

Daily Interest

Interest amount that is calculated and accrued on a daily basis, typically used in various financial contexts to determine the amount earned or owed each day.