A superior criticized a sales manager for selling high-revenue, low-profit items instead of lower-revenue but higher-profit items. The sales manager

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A superior criticized a sales manager for selling high-revenue, low-profit items instead of lower-revenue but higher-profit items. The sales manager responded, ‘‘My income is based on commissions that are a percent of revenues. Why should I care about profits? I care about revenues!’’ Comment.

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Related Book For  answer-question

Managerial Accounting An Introduction to Concepts Methods and Uses

ISBN: 978-0324639766

10th Edition

Authors: Michael W. Maher, Clyde P. Stickney, Roman L. Weil

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Question Posted: June 04, 2012 00:12:28