BONUS FORMULAS:

1. Bonus is based on profit before bonus, salaries, and interest.

B = BR (P)

2. Bonus is based on profit after bonus but before salaries, and interest.

B = BR (P-B)

3. Bonus is based on profit after salaries but before bonusand interest.

B = BR (P-S)

4. Bonus is based on profit after interest but before bonus and salaries.

B = BR (P-I)

5. Bonus is based on profit after salaries and interest but before bonus.

B = BR (P-S-I)

6. Bonus is based on profit aftersalaries, and interest, and bonus.

B = BR (P-S-I-B)

7. Bonus is based on profit after bonus and salaries but before interest.

B = BR (P-B-S)

8. Bonus is based on profit after bonus and interest but before salaries.

B = BR (P-B-I)

PRACTICE PROBLEM:

Profit P896,000
Bonus rate 12%
Salaries 150,000
Interest 180,000