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For Betty Boop Co., sales commissions are recognized as a base of $12,500 for each employee for the year, with an additional
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Answer #1

Base commission = $12,500

Additional commission = $750 per unit

Expected number of units to be sold by Jared in the current year = 1,300 + 100 = 1,400

Therefore,

Anticipated commissions expense for Jared for current year = $12,500 + (1,400 x $750) = $1,062,500

Thus the correct answer is B.

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