When Wallace made a commission that was greater than the salary of his company's senior vice president,he was pleased with his accomplishments.He was not so happy when the company told him that there was a _____ and that he would receive only $50,000 in commissions,about 40 percent less than what he had made.
A) draw
B) quota
C) base
D) cap
E) bonus

Question

Quizplus · Accepted Answer

A commission cap is a limit or ceiling on the total amount of commission an employee can earn in a given period. This would explain why Wallace was told he would receive only $50,000 in commissions, even though he had earned more in the past.

When Wallace Made a Commission That Was Greater Than the Salary