Which three objectives are achieved by a spread formula?

Question

Options

• ACalculate the distribution of an amount among selected child territories regardless of the metrics
• BSpread the variance between the parent territory quota and the sum of child territory quotas to the
• CCalculate the ratios to use for the child territories through the use of the metric defined.
• DEqually distribute quota from the parent territory to child territories.
• EDistribute quota only to the parent territory.

• A
  7% (3)
• B
  79% (33)
• E
  14% (6)

Explanation

A spread formula calculates the distribution of an amount among selected child territories. For example, a spread formula takes the variance between the parent territory quota and the sum of the quotas for the child territories, and spreads it to the child territories (B). The formula calculates the ratios to use for the child territories through the use of the metric defined for the selected spread formula (C, not A). The formula examines each territory contribution of the metric value for a period, and compares it with the total value of the same metric for all the territories combined, to determine the percentage to apply to each territory. When a spread formula has no metric selected, then it distributes the amount evenly across the child territories (D).

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