Accounting Fundamentals Certification (AFC) Practice Test

To determine Elizabeth's gross earnings for the week, you need to consider both her salary and her commission from sales. Elizabeth's salary is straightforward: she earns a fixed amount of $296.00 for the week. Next, we need to calculate her commission. She receives 1% of her total sales, which amounts to $63,255. To find the commission, multiply the sales amount by the commission rate: \[ Commission = 63,255 \times 0.01 = 632.55 \] Now, you combine her salary and her commission to find her total gross earnings: \[ Gross Earnings = Salary + Commission \] \[ Gross Earnings = 296.00 + 632.55 = 928.55 \] Thus, Elizabeth's total gross earnings for the week amount to $928.55. This calculation correctly incorporates both components of her compensation, resulting in the total earnings calculated.