Given the possible annual salary options for sales associates, the difference in the total annual salary between the options is $7, 140
How to find the difference in salary?
Option A allows a sales associate to earn $120 per week in addition to 8.5% commission on annual sales. If there are 52 weeks, the total annual salary for option A would be:
= (120 x 52 weeks) + (8.5% x 240,000 sales)
= 6, 240 + 20, 400
= $26, 640
Option A gives $375 and no commission so the total annual salary for option B is:
= 375 x 52 weeks
= $19, 500
The difference between the options is:
= 26, 640 - 19, 500
= $7, 140
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