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Which of the Following Statements Is(are)true Regarding Compensation

question 74

Multiple Choice

Which of the following statements is(are) true regarding compensation?
(A) Fixed compensation is generally not linked to measured performance;i.e. ,it is independent of measured performance.
(B) Properly designed management control systems have contingent compensation items but not fixed compensation items.


Definitions:

World Price

The international market price of a good or service, determined by global supply and demand.

Domestic Supply

The total amount of a product or service that is available for consumption or use within a domestic market.

Trade Restrictions

Regulations imposed by governments to limit the free exchange of goods and services across borders, including tariffs, quotas, and embargoes.

Specific Tariff

A specific tariff is a fixed fee imposed by a government on each unit of imported goods, based on quantity rather than value.

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