Commission

Front

What is commission?

Back

Commission is a fee paid to an employee or agent for services rendered, typically calculated as a percentage of the sales made.

Front

How do you calculate commission?

Back

To calculate commission, multiply the total sales amount by the commission rate (as a decimal). For example, if the total sales are $1000 and the commission rate is 5%, the commission is $1000 x 0.05 = $50.

Front

If Derek sells $9,732 worth of appliances at a 6.5% commission, what is his commission?

Back

$632.58

Front

What is the formula to find the total sales from commission earned?

Back

Total Sales = Commission Earned / Commission Rate.

Front

If Pierre earns $10,800 in commission at a 25% rate, what is the total dollar value of the art he sold?

Back

$43,200

Front

What does a commission rate of 11% mean?

Back

A commission rate of 11% means that for every dollar of sales, the salesperson earns 11 cents.

Front

If Felipe earns 5% commission on $9,650 in sales, how much does he earn?

Back

$482.50

Front

What is the difference between gross sales and net sales?

Back

Gross sales are the total sales before any deductions, while net sales are the total sales after deductions such as returns and discounts.

Front

How can commission structures motivate salespeople?

Back

Commission structures can motivate salespeople by providing financial incentives to increase sales, encouraging them to work harder and achieve higher sales targets.

Front

If Wilson sells home security systems for a total of $4,265 and earns 11% commission, what is his commission?

Back

$469.15