Related Rates: Quiz
Problem 1
A corporation vice president's bonus is tied to sales of the company. Each increase of $1 million in sales over the year earns her 0.72% of those sales. What is the vice president's total compensation if sales increase by $2.5 million and her base salary is $120,000 per year?
Answers, problem 1
total compensation = $120,000 + (0.72% of $2,500,000) = $138,000