Answer the following statement(s) true (T) or false (F)

1. Extrinsic rewards can either increase intrinsic motivation, if the rewards are high, or decrease it if they are low.
2. The needs for competence and self-determination fall under extrinsic rewards.
3. Extrinsic rewards can both motivate and demotivate people.
4. Seniority-based pay encourages longevity and helps reduce turnover, but it also might be demotivating.
5. Profit sharing is a system whereby managers agree to share the benefits of cost savings with staff in return for their contribution to the company’s performance.


1. TRUE
2. FALSE
3. TRUE
4. TRUE
5. FALSE

Business

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