Sean, the owner of a hardware store, pays incentives to the members of his sales team based on their ability to sell products to industrial buyers. Each salesperson receives 20 percent of the amount earned from his or her total sales. In this scenario, which of the following incentive systems is Sean most likely using to reward his employees?
A) Gainsharing
B) Profit sharing
C) A piece-rate plan
D) A commission
D
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Explain why tax allocation is necessary.
What will be an ideal response?
In a foreign currency __________, the contract can be executed or not, depending on whether the market works for or against you.
Fill in the blank(s) with the appropriate word(s).
"In order to establish a rational pay structure, a company performs job evaluation. The evaluation is found to be reliable." Which of the following statements indicate this?
A. The evaluation plan matched an agreed-upon pay structure. B. The majority of the employees found the evaluation acceptable. C. The evaluation was found to be subjective. D. The evaluation achieved the desired results. E. All the evaluators produced the same results.
A company may prefer to use residual income over return on investment for performance evaluation because ________
A) residual income is a ratio but return on investment is an absolute figure B) residual income is more likely to lead to goal congruence than return on investment is C) residual income is easier to calculate than return on investment D) residual income considers three elements but return on investment considers only two elements