Royalty Forumula

**bdev** · 06-20-2012, 01:22 PM

We pay a royalty fee to another company annually. The royalty fee is $174,000/year or 15% of revenue whichever is greater.

I'm looking for a forumla that will take our revenue cell and make the determination whether to subtract $174,000 from it or subtract 15%.

I've calculated that if our annual revenue is equal or less to $1,1600,000 we pay the flat $174,000/year rate...anything over, we pay 15%

Can someone help me determine a formula.

**tigeravatar** · 06-20-2012, 01:28 PM

bdev,

Welcome to the forum!
If the total revenue is in cell A1:

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**ThePower777** · 06-20-2012, 01:28 PM

If you have your revenue in cell A1 you can use formula:

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**rob.barnes01** · 06-20-2012, 01:29 PM

Try:

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where A1 is your annual revenue.

Hope this helps

**rob.barnes01** · 06-20-2012, 01:31 PM

Well ... at least we're all in agreement!

**dilipandey** · 06-20-2012, 01:32 PM

Hi bdev,

Welcome to the forum.

You said..for anything over, we pay 15%.. I guess this is for over and above amount after 11600000.. try below formula:-

=IF(A1<=11600000,174000,(11600000-174000)*15%)

Regards,
DILIPandey

<click on below 'star' if this helps>