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24 November, 02:12

A company wishes to make $8,000,000 per year in sales. 45% of revenue is from product sales, 35% is from annual maintenance, and 20% is from training. if there are 10 salesmen, what is the average product sales per month that each salesman must sell?

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  1. 24 November, 03:51
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    Given:

    Company wishes to make $8,000,000 per year in sales.

    Revenue categorization:

    Product sales = 45%

    Annual maintenance = 35%

    Training = 20%

    Number of salesmen = 10

    To find: average product sales per month that each salesman must sell.

    Solution:

    Revenue in sales = $8,000,000 per year

    From product sales = 45%

    So, $8,000,000*45% = $3,600,000

    $3,600,000 per year is revenue from product sales.

    So, per month revenue from product sales = $3,600,000/12 = $300,000

    Now, there are 10 salesmen, so in order to find average product sales per

    month that is to be done by each salesman should be calculated as below:

    $300,000/10 = $30,000

    $30,000 is the average product sales per month that is to be done by each salesman.
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