## The formula above gives the contribution $$C,$$ in dollars, to a certain profit-sharing plan for a participant with a

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### The formula above gives the contribution $$C,$$ in dollars, to a certain profit-sharing plan for a participant with a

by VJesus12 » Mon Sep 21, 2020 7:04 am

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A

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C

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$$C=\begin{cases} 0.10s, \; \text{if} \; s\le 60,000,\\ 0.10s +0.4(s-60,000), \; \text{if} \; s> 60,000. \end{cases}$$

The formula above gives the contribution $$C,$$ in dollars, to a certain profit-sharing plan for a participant with a salary of $$s$$ dollars. How many more dollars is the contribution for a participant with a salary of $$\70,000$$ than for a participant with a salary of $$\50,000 ?$$

A. $$\800$$
B. $$\1,400$$
C. $$\2,000$$
D. $$\2,400$$
E. $$\2,800$$

Source: Official Guide

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### Re: The formula above gives the contribution $$C,$$ in dollars, to a certain profit-sharing plan for a participant with

by gmatter2012 » Mon Sep 21, 2020 9:24 pm
VJesus12 wrote:
Mon Sep 21, 2020 7:04 am
$$C=\begin{cases} 0.10s, \; \text{if} \; s\le 60,000,\\ 0.10s +0.4(s-60,000), \; \text{if} \; s> 60,000. \end{cases}$$

The formula above gives the contribution $$C,$$ in dollars, to a certain profit-sharing plan for a participant with a salary of $$s$$ dollars. How many more dollars is the contribution for a participant with a salary of $$\70,000$$ than for a participant with a salary of $$\50,000 ?$$

A. $$\800$$
B. $$\1,400$$
C. $$\2,000$$
D. $$\2,400$$
E. $$\2,800$$

Source: Official Guide
Please correct the question for case s>60,000 its
.04 and NOT .4
So we have to use 0.10s + .04 (s - 60,000) for the second case.

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### Re: The formula above gives the contribution $$C,$$ in dollars, to a certain profit-sharing plan for a participant with

by gentvenus » Tue Sep 22, 2020 2:01 am
gmatter2012 wrote:
Mon Sep 21, 2020 9:24 pm
VJesus12 wrote:
Mon Sep 21, 2020 7:04 am
$$C=\begin{cases} 0.10s, \; \text{if} \; s\le 60,000,\\ 0.10s +0.4(s-60,000), \; \text{if} \; s> 60,000. \end{cases}$$

The formula above gives the contribution $$C,$$ in dollars, to a certain profit-sharing plan for a participant with a salary of $$s$$ dollars. How many more dollars is the contribution for a participant with a salary of $$\70,000$$ than for a participant with a salary of $$\50,000 ?$$

A. $$\800$$
B. $$\1,400$$
C. $$\2,000$$
D. $$\2,400$$
E. $$\2,800$$

Source: Official Guide
Please correct the question for case s>60,000 its
.04 and NOT .4
So we have to use 0.10s + .04 (s - 60,000) for the second case.
No wonder why I got stuck!

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### Re: The formula above gives the contribution $$C,$$ in dollars, to a certain profit-sharing plan for a participant with

by Scott@TargetTestPrep » Fri Sep 25, 2020 1:53 pm
VJesus12 wrote:
Mon Sep 21, 2020 7:04 am
$$C=\begin{cases} 0.10s, \; \text{if} \; s\le 60,000,\\ 0.10s +0.4(s-60,000), \; \text{if} \; s> 60,000. \end{cases}$$

The formula above gives the contribution $$C,$$ in dollars, to a certain profit-sharing plan for a participant with a salary of $$s$$ dollars. How many more dollars is the contribution for a participant with a salary of $$\70,000$$ than for a participant with a salary of $$\50,000 ?$$

A. $$\800$$
B. $$\1,400$$
C. $$\2,000$$
D. $$\2,400$$
E. $$\2,800$$

Source: Official Guide
Solution:

(Note: There is a typo. The number 0.4 should be 0.04.)

If a participant has a salary of s = $50,000, then C = 0.1 x 50,000 =$5,000.

If a participant has a salary of s = $70,000, then C = 0.1 x 70,000 + 0.04(70,000 - 60,000) = 7,000 + 400 =$7,400.

Therefore, the difference is 7,400 - 5,000 = \$2,400.