Above what level of sales volume do the economics favor the


Company sells its products through Direct salesforce and indirect channels. its fixed cost per salesperson runs $50K/year and it gives commissions at the rate of 20% of sales revenue. The fixed cost of managing indirect channel runs $20K/year and the commissions it gives them runs on the average 40% a year. Above what level of Sales volume do the economics favor the company using a direct channel?

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Financial Management: Above what level of sales volume do the economics favor the
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