Final answer:
Travel agents receive commission as compensation from suppliers. This commission is a percentage of the total cost of the travel package or service they book for clients.
Step-by-step explanation:
The type of compensation that a travel agent receives from suppliers is commission. Travel agents typically earn a commission based on the bookings they make for their clients. This commission is a percentage of the total cost of the travel package or service.
For example, if a travel agent books a flight and hotel for a client, they may receive a commission of 10% of the total cost of the booking. The commission is paid to the travel agent by the supplier, such as the airline or hotel, as a reward for bringing them business.
Other forms of compensation, such as interest, license fee, or wage, are not typical for travel agents who primarily earn their income through commission.