Suppose that a salesperson has the following contract relating monthly sales, S, to her monthly pay, P. She is given a basic monthly amount of P30,000, regardless of her sales level. On the first P500,000 of monthly sales, she earns a 10% commission. On any additional sales, she earns a commission of 20%. a. Find and graph the function relating her pay to sales, P(S),S > 0 b. Determine the point of non-differentiability of P(S) and explain why this is so.

Suppose that a salesperson has the following contract relating monthly sales, S, to her monthly pay, P. She is given a basic monthly amount of P30,000, regardless of her sales level. On the first P500,000 of monthly sales, she earns a 10% commission. On any additional sales, she earns a commission of 20%. a. Find and graph the function relating her pay to sales, P(S),S > 0 b. Determine the point of non-differentiability of P(S) and explain why this is so.

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter17: Capital And Time

Section: Chapter Questions

Problem 17.6P

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