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100 points for $49 worth of Veritas practice GMATs FREE VERITAS PRACTICE GMAT EXAMS Earn 10 Points Per Post Earn 10 Points Per Thanks Earn 10 Points Per Upvote ## Sabrina is contemplating a job switch. She is . . . . tagged by: M7MBA ##### This topic has 1 expert reply and 0 member replies ### Top Member ## Sabrina is contemplating a job switch. She is . . . . Sabrina is contemplating a job switch. She is thinking of leaving her job paying$85,000 per year to accept a sales job paying $45,000 per year plus 15 percent commission for each sale made. If each of her sales is for$1,500, what is the least number of sales she must make per year if she is not to lose money because of the job change?

A) 57
B) 177
C) 178
D) 377
E) 378

The OA is the option C.

How can I calculate the correct answer here? Experts, can you help me? I'd be thankful.

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Sabrina is contemplating a job switch. She is thinking of leaving her job paying $85,000 per year to accept a sales job paying$45,000 per year plus 15 percent commission for each sale made. If each of her sales is for $1,500, what is the least number of sales she must make per year if she is not to lose money because of the job change? A) 57 B) 177 C) 178 D) 377 E) 378 The OA is the option C. How can I calculate the correct answer here? Experts, can you help me? I'd be thankful. Hi M7MBA, Let's take a look at your question. Old job paid Sabrina annually =$85,000
New job pays $45,000 plus 15% commission of each sale. If each sale is for$15,000, then commission earned by each sale will be:
$$=15000\times15\%$$
$$=15000\times\frac{15}{100}=225$$

Let Sabrina make 'x' sales per year, then to avoid losing money due to job change, her yearly income including commission should be more than $85,000. It can be written as: $$45,000+225x>85,000$$ $$225x>85,000-45,000$$ $$225x>40,000$$ $$x>\frac{40000}{225}$$ $$x>177.78$$ Since x is the number of sales, it can not be decimal so we will round it off to a whole number. Hence to avoid losing money due to job change, Sabrina has to make at least 178 sales per year. Therefore, Option C is correct. Hope it helps. I am available if you'd like any follow up. _________________ GMAT Prep From The Economist We offer 70+ point score improvement money back guarantee. Our average student improves 98 points. Free 7-Day Test Prep with Economist GMAT Tutor - Receive free access to the top-rated GMAT prep course including a 1-on-1 strategy session, 2 full-length tests, and 5 ask-a-tutor messages. Get started now. • Free Practice Test & Review How would you score if you took the GMAT Available with Beat the GMAT members only code • FREE GMAT Exam Know how you'd score today for$0

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