Geneva Healthcare Company (GHC) sells annual health insurance for $1,050 each. The company uses commission-based selling...

Geneva Healthcare Company (GHC) sells annual health insurance for $1,050 each. The company uses commission-based selling and the quota per salesperson is 40 insurances per month. IF GHC has 3 salespersons who are new and are expected to hit 50% of the monthly quota, 2 others who can hit 75% of the quota, and 5 experienced salespeople who can achieve 100% of the quota, then what is this month’s expected level of revenue? Show your calculations. (2 points)

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Expert Solution

Total Number of Insurance Policies sold in a month = 3(40)(0.50) + 2(40)(0.75) + 5(40)(1)

Total Number of Insurance Policies sold in a month = 320

Revenue in a month = 320(1,050)

Revenue = $336,000

jeff jeffy answered 2 years ago

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