Order the answer to: Café-Nervosa.com, based in Seattle, Washington, is a rapidly growing family

Academic Help business economics Order the answer to: Café-Nervosa.com, based in Seattle, Washington, is a rapidly growing family

business economics

Order the answer to: Café-Nervosa.com, based in Seattle, Washington, is a rapidly growing family

Question Niles Crane has shown great promise during the past year, and Frasier Crane believes that a substantial raise is clearly justified. At the same time, some adjustment to the compensation paid to other sales personnel also seems appropriate. Frasier Crane is considering changing from the current compensation plan to one based on a 5 percent commission. He sees such a plan as being fairer to the parties involved and believes it would also provide strong incentives for needed market expansion. A. Calculate Café-Nervosa.com’s salary expense for each employee expressed as a percentage of the monthly sales generated by that individual. B. Calculate monthly income for each employee under a 5 percent of monthly sales commission-based system. C. Will a commission-based plan result in efficient relative salaries, efficient salary levels, orboth?
Subject business economics
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