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A manger gets 5% commission on sales, cost of goods sold is RS.40000 which he sells at a Margin of 20% on sale. Manager commission will be.? A. 2000 B. 2500 C. 2800 D. None of the above?
Most Upvoted Answer
A manger gets 5% commission on sales, cost of goods sold is RS.40000 w...
Calculation of Manager Commission
- Cost of goods sold (COGS) = RS.40000
- Margin on sale = 20%
- Revenue = COGS / (1 - Margin) = 40000 / (1 - 0.20) = RS.50000
- Manager commission = Revenue * Commission rate = 50000 * 0.05 = RS.2500
Answer
The manager's commission will be RS.2500.
Explanation
The cost of goods sold is given as RS.40000 and the margin on sale is 20%. This means that the manager sells the goods for 20% more than the cost of goods sold, which gives the revenue. We can calculate the revenue by using the formula:
Revenue = COGS / (1 - Margin)
Substituting the given values, we get:
Revenue = 40000 / (1 - 0.20) = RS.50000
Now, we can calculate the manager's commission using the formula:
Manager commission = Revenue * Commission rate
Substituting the given values, we get:
Manager commission = 50000 * 0.05 = RS.2500
Therefore, the manager's commission will be RS.2500.
Community Answer
A manger gets 5% commission on sales, cost of goods sold is RS.40000 w...
Sales = 40k+ 25% = 50k
commission = 50k × 5% = Rs. 2500
that's y B option is the ans.
commission = 50k × 5% = Rs. 2500
that's y B option is the ans.
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A manger gets 5% commission on sales, cost of goods sold is RS.40000 which he sells at a Margin of 20% on sale. Manager commission will be.? A. 2000 B. 2500 C. 2800 D. None of the above?
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A manger gets 5% commission on sales, cost of goods sold is RS.40000 which he sells at a Margin of 20% on sale. Manager commission will be.? A. 2000 B. 2500 C. 2800 D. None of the above? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about A manger gets 5% commission on sales, cost of goods sold is RS.40000 which he sells at a Margin of 20% on sale. Manager commission will be.? A. 2000 B. 2500 C. 2800 D. None of the above? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for A manger gets 5% commission on sales, cost of goods sold is RS.40000 which he sells at a Margin of 20% on sale. Manager commission will be.? A. 2000 B. 2500 C. 2800 D. None of the above?.
A manger gets 5% commission on sales, cost of goods sold is RS.40000 which he sells at a Margin of 20% on sale. Manager commission will be.? A. 2000 B. 2500 C. 2800 D. None of the above? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about A manger gets 5% commission on sales, cost of goods sold is RS.40000 which he sells at a Margin of 20% on sale. Manager commission will be.? A. 2000 B. 2500 C. 2800 D. None of the above? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for A manger gets 5% commission on sales, cost of goods sold is RS.40000 which he sells at a Margin of 20% on sale. Manager commission will be.? A. 2000 B. 2500 C. 2800 D. None of the above?.
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