Answer Happy

Question 2 A. A company that employs a large number of salespeople is interested in learning which of the salespeople sell the most: those strictly on commission, those with a fixed salary, or those with a reduced fixed salary plus a commission. The previous month's records for a sample of salespeople are inspected and the amount of sales in dollars) is recorded for each, as shown in the table. Commissioned $507 $450 $532 $483 $466 $410 Fixed Salary $425 $443 $437 $432 $444 Commission Plus Salary $492 $492 $470 $439 B. Test to determine if a difference exists in the mean sale amounts among the three compensation systems. Test using a = .05 (17 marks) The annual demand for an item is 12,000 units; the ordering cost $80 per order, the carrying cost 20% of the unit cost $15. CALCULATE: i. The Economic order quantity ii. Annual ordering cost ili. Annual carrying cost iv. Total annual cost (3 marks) (2 marks) (2 marks) (1 mark) (Total 25 marks)