Compute the bonus, B, paid to a companys franchise managers using the following formulas B b1 b2(Y ), for Y B b1 b3( Y), for Y Where b1 4 b2 2 b3 5 forecasted sales revenue Y actual sales revenue Let Y and each have values of $2,500, $3,000, and $3,500 ...

Actual sales Forecasted sales Bonus a 2500 2500 100 b 3000 2500 110 c 3500 2500 ...

Compute the bonus, B, paid to a companys franchise managers using the following formulas: B = b1

Question:

Compute the bonus, B, paid to a company’s franchise managers using the following formulas:

B = b1 Ŷ + b2(Y – Ŷ), for Y ≥ Ŷ
B = b1 Ŷ – b3(Ŷ – Y), for Y > Ŷ

Where
b1 = 4%
b2 = 2%
b3 = 5%
Ŷ = forecasted sales revenue
Y = actual sales revenue.
Let Y and Ŷ each have values of $2,500, $3,000, and $3,500.