BUSINESS ADMINISTRATION
BUSINESS MATHEMATICS
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
True
|
|
|
False
|
Detailed explanation-1: -A commission rate is the reward or payment associated with either a percentage of sale or payment. In partnerships, partners can earn commission on either qualified leads or on closed sales. The commission rate is the percentage of the value of that lead or sale that is paid to the partner.
Detailed explanation-2: -Sales commission is a key aspect of sales compensation. It’s the amount of money a salesperson earns based on the number of sales they have made.
Detailed explanation-3: -A commission is a percentage of total sales as determined by the rate of commission. To find the commission on a sale, multiply the rate of commission by the total sales. Just as we did for computing sales tax, remember to first convert the rate of commission from a percent to a decimal.
Detailed explanation-4: -How to Calculate Sales Commission? The commission is calculated as a percentage based on the commission rate. Thus, Commission = Rate*Sales. You multiply the rate with the sales after converting the rate into a decimal.