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At a sales volume of 34,000 units, Carne Company's sales commissions (a cost that is variable with respect to sales volume) total $741,200. To the nearest whole dollar, what should be the total sales commissions
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At a sales volume of 34,000 units, Carne Company's sales commissions (a cost that is variable with respect to sales volume) total $741,200. To the nearest whole dollar, what should be the total sales commissions at a sales volume of 32,300 units

User Bijou
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3.1k points

1 Answer

3 votes

Answer: $704,140

Step-by-step explanation:

Find the rate of commission per sales first:

= Commission / Number of units sold

= 741,200 / 34,000

= $21.80 commission per unit

If there are 32,300 units, the commission will be:

= 32,300 * 21.80

= $704,140

User Michael Wildermuth
by
2.7k points
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