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Nov 24, 2024

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Question Answered Asked by cag93 Maria Pajet, a regional sales representative for UniTec Systems, Inc., has been working about 80 hours per week calling on a total of 123 regular customers each month. Because of family and health considerations, she has decided to reduce her hours to a maximum of 160 per month. Unfortunately, this cutback will require Maria to turn away some of her regular customers or, at least, serve them less frequently than once a month. Maria has developed the following information to assist her in determining how to best allocate time: Customer Classification Large Business Small BusinessIndividual # of Customers 8 35 80 Average Monthly Sales p/Customer $2,500 $1,500 $600 Commission Percentage 5% 8% 10% Hours per Customer per monthly visit 5.0 3.0 2.5 Required Develop a monthly plan that indicates the number of customers Maria should call on in each classification to maximize her monthly sales commissions.
Answer & Explanation Solved by verified expert Answered by Fintutor Dear student, I am sending the answer. Please check it. 1 attachment View attachment Hours schedule.xlsx Calculation of Per Hour commision from three different types of customers: Large Per Customer average monthly sales Hours required Commision Percentage Commision earned per customer Commision per Hour Small 2,500 5 5% 125 25 Individual 1,500 3 8% 120 40 600 2.5 10% 60 24 Per Hour commision income is highest in small business so first priority is small business than Large business and in last individual. Total Hours available = Hours required in small business = 35 x 3 = 105 Remaining hours = 160 - 105 = 55 Hours required in large business = 8 x 5 = 40 Remaining hours = 55 - 40 = 15 Hours alloted for individuals = 2.5 x 6 = 15 160 So, total 35 small business, 8 large business and 6 individual will be called. Total commision earned No. of customers Large Small Individual Total Commision per customer Total commision 8 125 1000 35 120 4200 6 60 360 5560
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