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They are classified as a selling cost or nonmanufactoring cost. They are classified as a selling cost or nonmanufactoring cost.
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∙ 15y ago
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What is contribution margin ratio?
contribution margin ratio = (sales - variable costs) / Sales
What is a sales assumption?
Sales assumption is an approximate figure of sales expected to occur in a particular time period.
Does contribution margin equal Sales-variable costs?
Contribution margin is computed as sales revenue minus variable expenses
How do Security dealers make most of their income?
Most of their income is derived from commissions they earn from sales of securities. Additionally, they may earn some money from choosing their personal investments wisely.
If variable costs are 70 percent of sales fixed costs are 360000 and each unit is 30 how many units must be sold to break even?
8400 units.
Is commissions a fixed or variable costs?
Sales Commission varies with volume of sales that's why it is a variable cost as much the sales as much the sales commission, high sales high sales commission and vice versa.
Is sales commission expense a period cost?
Yes, period costs are non manufacturing costs
Are sales commissions direct costs?
Sales commission has no relationship with manufacturing of products that’s why it is not a direct cost as direct costs are those costs which related to manufacturing of products like raw material, labor etc.
Are sales commissions a direct or indirect expense?
Sales commissions are direct expenses. Direct expenses are those that used to directly run a business like labor, materials products services and more. Indirect expenses are the costs of doing business and include things like rent, insurance, depreciation and more.
What types of commissions do corporate sales jobs pay?
Corporate sales jobs pay 2 types of commission. These are straight which is based off of the percentage of sales and variable commissions pay differently upon reaching targets.
What are supply chain costs?
Supply chain costs are operating costs associated with business functions related to the procurement, manufacturing and distribution of a product. On the contrary, costs associated with overhead functions, sales, promotion and marketing are not considered supply chain costs. The term is not strictly defined and definitions may vary by industry and situation. For example, delivery costs are sometimes classified as sales costs, rather than supply chain costs.
How are sales commissions figured in the promotional products industry?
While sales commissions vary from business to business there are industry standards. How sales commissions are figured depends on the pay structure of the sales rep. Sales reps may work straight commission, salary plus commission and others, it depends on the agreement between the company and rep. Salespeople normally receive their commissions when they write up an order, or when the client/customer pays their invoice. Typically a sales rep gets paid when the sale is complete to avoid problems if an order derails before completion.
What happens to sales when fixed costs decrease?
When fixed costs decrease, what does this do for sales?
What is the term describe the excess of sales over costs of sales which is expressed as a percentage of net sales?
sales over costs of sales which is expressed as a percentage of net sales, is referred to as...
Is sales commissions a fixed or variable cost?
Sales Commission varies with volume of sales that's why it is a variable cost as much the sales as much the sales commission, high sales high sales commission and vice versa.
Are the inventoriable costs applicable to manufacturing and merchandising companies applicable to service companies?
1. An example of an inventoriable cost would be: a) Shipping fees b) Advertising flyers c) Sales commissions d) Direct materials
Are sales commissions a direct labor cost?
is salesmen commission apart of direct labor
