Phillippe Is an Inside Salesperson Who Earns a Base Annual

question 56

Multiple Choice

Phillippe is an inside salesperson who earns a base annual salary of $24,000 plus a 5% commission on total sales that he makes during the pay period.During a semimonthly period,he made $27,500 in sales.What is Phillippe's gross pay for the period? (Do not round intermediate calculations.Round your answer to 2 decimal places. )

• A)$2,298.07
• B)$2,390.38
• C)$2,375.00
• D)$2,422.50

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Definitions:

Percentage Of Completion

An accounting method used to recognize revenues and expenses of long-term projects proportionally to the work completed to date.

Costs Incurred

Expenses recognized in accounting, representing the cost of doing business and acquiring or producing goods.

Contract Price

The agreed-upon price for goods or services specified in a contractual agreement.

Installment Sales Method

Accounting method that recognizes revenue when payments are received rather than at the point of sale.