Tony Parducci, a new payroll clerk for PowerGlide, prepared the commissions record shown here for Dianne Connelly.

PowerGlide pays all salespersons a biweekly salary of \($1,300.00\) plus a monthly commission of 1.5% of department net sales. Commissions for the previous month are paid in the first pay period of the current month. Accounting records for Ms. Connelly’s department for the month ended November 30 of the current year indicate: sales on :

account, \($55,170.32;\) cash and credit card sales, \($12,371.40;\) sales discount, \($1,452.22;\) sales returns and allowances, \($954.65.\)

Instructions: 

As the senior accounting clerk, you have responsibility for reviewing the work prepared by new hires.

Examine the commissions record prepared by Mr. Parducci. Calculate the new commission on net sales if errors are found.

Transcribed Image Text:

COMMISSIONS RECORD 6 Dianne Connelly EMPLOYEE NO. EMPLOYEE NAME 1% December 20-- COMMISSION RATE MONTH YEAR Skates $1,300.00 DEPARTMENT REGULAR BIWEEKLY SALARY Sales on Account. Cash and Credit Card Sales equals Total Sales for the month Less: Sales Discounts Sales Returns and Allowances Equals: Net Sales times Commission Rate equals: Commission on Net Sales $55,710.32 12,371.40 $68,081.72 $ 145.22 954.65 1,099.87 $66.981.85 0.01 6,698.19