Frank's Futons currently sells 55 futons a month at $450.00 for a total of $24,750 each month. Frank wants to increase the sales volume and has decided to offer incentives. An employee will have the following bonus schedule and has also placed a monetary value on their marginal effort. This employee will sell 95 futons for a bonus of $250.00 dollars.

Question

Frank's Futons currently sells 55 futons a month at $450.00 for a total of $24,750 each month. Frank wants to increase the sales volume and has decided to offer incentives. An employee will have the following bonus schedule and has also placed a monetary value on their marginal effort. This employee will sell 95 futons for a bonus of $250.00 dollars.
Frank's Futons currently sells 55 futons a month at $450.00 for a total of $24,750 each month. Frank wants to increase the sales volume and has decided to offer incentives. An employee will have the following bonus schedule and has also placed a monetary value on their marginal effort. This employee will sell 95 futons for a bonus of $250.00 dollars.

Quizplus · Accepted Answer

The statement is incomplete and does not provide enough information to determine the correctness of the statement. It is unclear what the employee's marginal effort is, and whether or not it is enough to reach the sales goal of 95 futons. Therefore, it is impossible to determine if the employee will receive the bonus or not.

Frank's Futons Currently Sells 55 Futons a Month at $450