Charlene's annual bonus is calculated in the following manner:

Question

Charlene's annual bonus is calculated in the following manner: Charlene receives 20 percent of her first $11,000 in sales and 30 percent of her sales in excess of $11,000. If Charlene received a bonus of $7,300, what were her annual sales?

A. $ 20,000

B. $ 22,000

C. $ 24,000

D. $ 26,000

E. $ 28,000

Could anyone pls explain the solution for this.

A. $ 20,000

B. $ 22,000

C. $ 24,000

D. $ 26,000

E. $ 28,000

Could anyone pls explain the solution for this.

ENGRTOMBA2018 · Answer

Sure. Look below.

Let x be the total sales in $.

For the 1st 11,000 you get 20% ---> 0.2*11000 = 2200$

For the remaining (x-11000) $, you get 30% ---> 0.3*(x-11000)

Thus, 0.3*(x-11000) + 2200 = 7300 ----> x= 28,000 $

E is thus the correct answer.

Hope this helps.

KarishmaB · Answer

Total Bonus = $7300

"Charlene receives 20 percent of her first $11,000 in sales " : 20% of $11,000 is $2200.
"30 percent of her sales in excess of $11,000 " : 7300 - 2200 = $5100

(30/100) * Excess = 5100
Excess = 17000

SO her total sales were 11000 + 17000 = $28000

Answer (E)

EMPOWERgmatRichC · Answer

Hi dheerajkaushik90,

This question can be solved by TESTing THE ANSWERS and using a bit of logic to save some time.

We're told that Charlene receives a bonus based on 20 percent of her first $11,000 in sales and 30 percent of her sales in excess of $11,000. We're then told that Charlene received a bonus of $7,300. We're asked for her TOTAL SALES.

To start, 20% of $11,000 = $2200 and
30% of $11,000 = $3300

$2200 + $3300 = $5500. Since Charlene received a bonus of $7300, we know that her TOTAL SALES were far MORE than $22,000.

Let's TEST Answer D: $26,000

20% of the first $11,000 = $2200
30% of the next $15,000 = $4500
$2200 + $4500 = $6700, but this is TOO LOW (her bonus was $7300). This means that her Total Sales were GREATER. There's only one answer that fits...

Final Answer:  E

GMAT assassins aren't born, they're made,
Rich

Abhishek009 · Answer

7300 = 20% of 11,000 + 30% of sales in excess of $11,000.

Or, 7300 = 2200 + 30% of sales in excess of $11,000.

Or, 30% of sales in excess of $11,000 is 5100

Thus, 1% of sales in excess of $11,000 is 5100/30

And, 100% of sales in excess of $11,000 is 5100/30*100 = 17000

Hence, Annual sales is 11000 + 17000 = 28000, Answer must be (E)

Charlene's annual bonus is calculated in the following manner:

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