This Question Is to Be Considered Independently of All Other

question 138

Multiple Choice

This question is to be considered independently of all other questions relating to Marchman Corporation. Refer to the original data when answering this question.
-The marketing manager would like to introduce sales commissions as an incentive for the sales staff. The marketing manager has proposed a commission of $8 per unit. In exchange, the sales staff would accept a decrease in their salaries of $27,000 per month. (This is the company's savings for the entire sales staff.) The marketing manager predicts that introducing this sales incentive would increase monthly sales by 100 units. What should be the overall effect on the company's monthly net operating income of this change?

• A)decrease of $1,000
• B)decrease of $55,000
• C)increase of $26,200
• D)increase of $191,000

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Definitions:

Specific Goals

Clearly defined, measurable, and time-bound objectives that individuals or organizations aim to achieve.

Milestones

Significant events or points in development or progress that serve as markers of achievement or change.

Passionate Love

An intense emotional state characterized by a powerful longing for and attraction to a partner, often accompanied by physiological arousal.

Infant-Mother Love

The strong emotional bond that develops between an infant and their mother, crucial for the child's development and well-being.