Sharon Is a Manufacturer's Representative Selling Office Furniture Directly to Businesses

question 14

Short Answer

Sharon is a manufacturer's representative selling office furniture directly to businesses. She receives a monthly salary of $2,000 plus a 2.2% commission on sales exceeding her quota of $150,000 per month. a) What are her earnings for a month in which she has $227,000 in sales? b) If her average monthly sales are $235,000, what straight commission rate would generate the same average monthly earnings as her current basis of remuneration?

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Definitions:

Red Tides

A phenomenon caused by algal blooms that turn the sea or other bodies of water a red or reddish color, often resulting in toxic effects on marine life.

Dinoflagellates

A group of single-celled organisms found in marine and freshwater environments known for their role in aquatic food chains and some can cause red tides.

Genetically Distinct Cells

Cells that have a unique genetic makeup, distinguishing them from other cells within an organism or between organisms.

Genetically Identical Cells

Cells that have exactly the same DNA sequence, typically arising from the division of a single cell or from cloning processes.