How do I apply a scaled weighting against a split number?

Douirc

New member
Joined
Jan 20, 2021
Messages
2
Hi,

Not sure if the subject best describes the problem.

Problem A:
Commission = 10,000
Quota = 150,000
Quota for New Sales = 60%= 90,000
Quota for Existing Sales = 40% = 60,000
Weighting for New Sales = 50%
Weighting for Existing Sales = 50%
Calculate the Payout % for both New and Existing sales

Solution A:
In this case, because the weighting between New and Existing is equal, the math is very simple:
Payout % = Commission/Quota = 10,000/150,000 = 6.66% for both New and Existing
Therefore,
New Sales Commission = Quota * Quota for New Sales * Payout % = 150,000 * 60% * 6.66% = 6,000
Existing Sales Commission = Quota * Quota for Existing Sales * Payout % = 150,000 * 40% * 6.66% = 4,000

Problem B:
Now let's say the Weighting % for New and Existing is no longer equal.
Weighting for New Sales = 75%
Weighting for Existing Sales = 25%
How do you calculate the New Payout % and the Existing Payout %? What is the algorithm?

Additional info:
The total Weighting of New and Existing must always = 100%
The total Quota % for New and Existing must always = 100%
The total commission from new and existing must always = 10,000

Examples:
New Sales Commission = 7,000 and Existing Sales Commission = 3,000; New Payout % = 7.77%, Existing Payout % = 5%
New Sales Commission = 2,000 and Existing Sales Commission = 8,000; New Payout % = 2.22%, Existing Payout % = 13.33%
New Sales Commission = 10,000 and Existing Sales Commission = 0; New Payout % = 11.11%, Existing Payout % = 0%
New Sales Commission = 0 and Existing Sales Commission = 10,000; New Payout % = 0%, Existing Payout % = 16.66%
The algorithm should be based on the input of Weighting for New and Existing Sales % in order to calculate the new Payout %
 
The "weighting" for new and existing sales are exactly the same, 50%, so you can just ignore that!
 
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