Stepped fee calculation

[Betty Csehi]

Here's the situation:

Revenue = $2,800,000
I have the following fee schedule:

First $1,000,000 = 0% of Revenue
Next $500,000 = 5% of Revenue
Next $500,000 = 6% of Revenue
Next $500,000 = 7% of Revenue
Next $500,000 = 8% of Revenue
Over $3,000,000 = 9% of Revenue

What formula would I write where it looks at the Revenue and then applies
the fee schedule? In this case, the result should be $$114,000.

Thanks for taking a look!

 

[JE McGimpsey]

Take a look here:

http://www.mcgimpsey.com/excel/variablerate.html

 

[Betty Csehi]

Your web site is just what I was looking for. Thanks so much!

 

[Guest]

This reminds me very much of an income tax calculation.


< 1,000,000 0

1,000,000 < 1,500,000 # - 1,000,000 * 0.05
1,500,000 < 2,000,000 # - 1,500,000 * 0.06 + 500,000 * 0.05
2,000,000 < 2,500,000 # - 2,000,000 * 0.06 + 500,000 * 0.06 + 500,000 * 0.05

And so on.