Choose the method of pay that would result in the most earnings for one month on sales of $40,000.a.
Straight commission of 7.5% on all sales.
b.
Monthly salary of $1,600 plus 2.5% commission on all sales.
c.
Graduated commission of 5% on the first $30,000 in sales and 6% on anything over that.
d.
Graduated commission of 4% on the first $25,000 in sales and 8% on anything over that.

The option that results in the most earnings for one month on sales of $40,000 is option a. Straight commission of 7.5% on all sales.

To determine which method of pay would result in the most earnings for one month on sales of $40,000, let's calculate the earnings under each option:

a. Straight commission of 7.5% on all sales:

  Earnings = 7.5% of $40,000 = 0.075 * $40,000 = $3,000

b. Monthly salary of $1,600 plus 2.5% commission on all sales:

  Earnings = $1,600 (monthly salary) + 2.5% of $40,000 (commission) = $1,600 + 0.025 * $40,000 = $1,600 + $1,000 = $2,600

c. Graduated commission of 5% on the first $30,000 in sales and 6% on anything over that:

  Earnings = (5% of $30,000) + (6% of $40,000 - $30,000) = (0.05 * $30,000) + (0.06 * $10,000) = $1,500 + $600 = $2,100

d. Graduated commission of 4% on the first $25,000 in sales and 8% on anything over that:

  Earnings = (4% of $25,000) + (8% of $40,000 - $25,000) = (0.04 * $25,000) + (0.08 * $15,000) = $1,000 + $1,200 = $2,200

The option that results in the most earnings for one month on sales of $40,000 is option a. Straight commission of 7.5% on all sales.

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Answer:

the answer is a. straight commission of 7.5% on all sales.

hope this helps <3