Assume a sales manager determines that in a given territory each salesperson sells approximately $500,000 yearly.

Assume  a sales manager determines that in a given territory each salesperson  sells approximately $500,000 yearly. Also, assume that the firm’s cost  of goods sold is estimated to be 65 percent of sales and that a  salesperson’s direct costs are $35,000 a year. Each salesperson works 48  weeks a year, eight hours a day, and averages five sales calls per day.  Using this information, how much merchandise must each salesperson sell  to break even?

For the year?

Each day?

Each sales call?

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