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Hiring agent with commission at 20% Own Sales Force Sales $18,600,000 $18,600,000 Less: Variable cost ($8,730,000) ($8,730,000) Variable commission ($3,720,000) ($1,395,000) Contribution $6 510 000
Hiring agent with commission at 20% Own Sales Force Sales $18,600,000 $18,600,000 Less: Variable cost ($8,730,000) ($8,730,000) Variable commission ($3,720,000) ($1,395,000) Contribution $6 510 000 $8 835 000 Less: Fixed Costs ($4,800,000) ($7,125,000) . Net Income $1,710,000 $1,710,000
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