Percentages

[Robert13224]

Company A wants to pay a 10% commission to Company B based on the selling price of $3.07. This 10% commission equals 31 cents and it will be added to the original sales price of $3.07, which gives a new sales price of $3.38. But, when Company B calculates their commission from the new sales price of $3.38, they will compute .34 instead of .31. How can I account for this difference of 3 cents?
Is there a formula or method I can use to slove this problem?

Thank you!

 

[mmm4444bot]

I'm not sure what is being sold for $3.07, but can you simply add the three cents to $3.04, to bring the selling price back to $3.07?

3.38 - 0.34 = 3.04

3.04 + 0.03 = 3.07

 

[LivingMath]

Company B must calculate their commission based on the original price. To do that, they need to know how the sales price was calculated:

new sales price = NSP
original sales price = OSP
commision = C

NSP = OSP + C
NSP = OSP + 0.1(OSP)
NSP = (1.1)OSP

Then, if Company B knows the NSP, they can calculate the original sales price with OSP = NSP/1.1, and use that to calculate the commission (or they can do a little more algebra and calculate the commission directly).

So, there is actually no problem. Company B was just calculating their commission incorrectly.