Lesson 1: Commission and Interest Flashcards
When a sales agent is paid a percentage of
sales only.
straight commissiion
May be increased if the agents’ level of
sales also increases.
graduated commission
is when a person gets paid a salary and a percentage of
his/her sales
salary plus commission
The amount of money which was borrowed
principal
a percent of the principal
interest charged
The period of time where the lender or ceditor will charge the
interest starting from loan date up to the loan repayment date
loan term or interest period
value that the lender receives from
the debtor on the maturity date of the loan
maturity value
maturity value =
sum of principal + simple interest
360 days
ordinary interest
365 days
exact interest
formula for interest
I = P x R x T/(360/365)
formula for principal
interest / R x T/(360/365)
formula for rate
interest / P x T/(360/365)
formula for time
interest / P x R
