Question

The first question:

A sales rep for a software company can offer four different licenses for the company's product. A full commercial license costs $219, a limited use commercial license costs $149, an educational license costs $79, and a trial license costs $39.

Last month, she sold 372 full commercial, 148 limited use commercial, 46 educational, and 68 trial licenses.

She is paid a 4.75% commission full commercial licenses, 3.5% on limited use commercial licenses, 3.75% on educational licenses, and 4.25% on trial licenses. This commission is calculated as a percent of the total amount of sales for each category.

Create a spreadsheet to calculate her total sales revenue for the month, and also to calculate the total commission earned.

Attach the spreadsheet you create as the answer to this question.   

Question # 2 What is the total (dollar) amount of her sales for this month? (You do not need to give any explanation other than just the answer; the spreadsheet you submitted above counts as "showing your work".)

Question #3 What is the total amount of commission she earned for the month?

Question # 4

Suppose that next month, she sells 410 full commercial, 53 limited use commercial, 197 educational, and 8 trial licenses.

Her commission rates stay the same except for full commercial licenses on which she now earns 5.75%.

Alter your spreadsheet to determine the amount of commission she would earn in that month. You do not need to submit the altered spreadsheet, simply give the answer here.

Answer 1

	Cost (c) ($)	Number sold (n)	Commission (co) (%)	Total revenue ('R) (c*n)	Commission earned (co*R)
Full commercial license	219	372	4.75%	81,468	3,869.73
Limited use commercial license	149	148	3.50%	22,052	771.82
Educational license	79	46	3.75%	3,634	136.28
Trial license	39	68	4.25%	2,652	112.71
			Total	109,806	4,890.54

2). Total sales = $109,806

3). Commission earned = $4,890.54

4). Commission earned = $6,036.19