The earnings of two employees are given below: Employee A: \( 6 \% \) commission on all sales Employee B: \( 4 \% \) commission on the first \( \$ 80,000 \) and \( 8 \% \) on anything over \( \$ 80,000 \) How much more does a straight commission employee make than the graduated commission employee for sales of \( \$ 100,000 \) ? a. \( \$ 1,200 \) b. \( \$ 1,600 \) c. \( \$ 2,000 \) d. \( \$ 3,200 \)

1. For Employee A (straight commission): \[ \text{Commission} = 6\% \times \$100,\!000 = 0.06 \times 100,\!000 = \$6,\!000. \] 2. For Employee B (graduated commission): - Commission on the first \$80,000: \[ 4\% \times \$80,\!000 = 0.04 \times 80,\!000 = \$3,\!200. \] - Commission on the remaining \$20,000: \[ 8\% \times \$20,\!000 = 0.08 \times 20,\!000 = \$1,\!600. \] - Total commission: \[ \$3,\!200 + \$1,\!600 = \$4,\!800. \] 3. The difference in commission is: \[ \$6,\!000 - \$4,\!800 = \$1,\!200. \] Thus, the straight commission employee makes \(\$1,\!200\) more than the graduated commission employee.