ENTREPRENEURIAL OPERATIONS
HUMAN RESOURCE MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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salary
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commission
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piecework
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bonus
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Detailed explanation-1: -What is the typical sales commission percentage? The industry average for sales commission typically falls between 20% and 30% of gross margins. At the low end, sales professionals may earn 5% of a sale, while straight commission structures allow a 100% commission.
Detailed explanation-2: -Revenue Commission Simply put, sales professionals receive a set percentage of all the revenue they sell. Sell $100, 000 in revenue while working with a company that pays out 5% of revenue, and your commission check will be $5, 000. Revenue-based commission plans can be very profitable if you sell high-ticket items.
Detailed explanation-3: -A commission percent is an assumed percentage used to calculate commissions expense as the product of commission percent multiplied by sales, gross margin, or related sales items.