Commission revenue or commission on sales?

2009-08-06 9:49 am
I am currently doing budgets at school and I was unsure which commission the statement was referring to.

The statement was along the lines of:
Commission on sales are paid each month and are 3% of total sales.

Does this mean that the commission is an expense because we're paying it?

回答 (1)

2009-08-06 9:58 am
✔ 最佳答案
Commision is paid to the salesperson from the Employer.

That is, if you sold 100 t-shirts at $1 each (sale price) = $100, then $3 gets paid to the salesperson.

This is an expense of the business/employer

From the perspective of the worker, the $3 would be classed as income or revenue


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