Suppose a Firm Manager Has a Base Salary of $50,000

question 96

Multiple Choice

Suppose a firm manager has a base salary of $50,000 and earns 2.5 percent of all sales.Determine the manager's income if revenues are $20,000,000 and profits are $5,000,000.

• A) $50,000
• B) $175,000
• C) $550,000
• D) $700,000

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Definitions:

Human Development Index

An index measuring three basic dimensions of human development: life expectancy, education, and per capita income indicators, used to rank countries into tiers of human development.

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An economic theory that compares different countries' currencies through a "basket of goods" approach, to assess the relative value of the currencies and the cost of living.

Consumer Price Index

An index measuring the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services.

Reserve Requirement

The minimum amount of funds that a bank must hold in reserve against deposits, as mandated by central banking authorities.