37 – Compensation - Business Development Center (BDC)

Personnel Expenses

Synopsis

Account 37

Debits

Credits

  1. Compensation earned by Business Development Center employees.

1.     Adjustments to previously recorded expense.

 

 

Remarks:

Examples of employees that would be included in this account are Sales, Service & Parts Business Development Center employees.

When the employee is salary only and does not handle the sale through to completion, the total compensation should be recorded here, with the personnel count in the Personnel Summary being recorded under Personnel – Other.  Should the employee handle the sale to the customer through to completion, and it is commissionable, the salary portion of the employee’s compensation is recorded here, with the commission being recorded in Compensation & Incentives Salespeople – Account 11.

Each item of this expense should be distributed to the respective operating department. Business Development Department personnel may perform services for more than one department and should have their compensation prorated on an equitable basis.