Which Form of Pay Does Not Permanently Increase Labor Costs

question 5

Multiple Choice

Which form of pay does not permanently increase labor costs?

• A)Incentive
• B)Merit pay
• C)Cost-of-living adjustments
• D)Base pay

---

Definitions:

Business Judgment Rule

A legal principle that shields corporate executives from liability for decisions made in good faith and with the belief that they were in the best interest of the company.

Fiduciary Duty

An obligation to act in the best interest of another party, such as the duty a trustee has to the beneficiaries of a trust.

Secretary Of State

A high-ranking official responsible for foreign affairs and administrative tasks within a government.

Treasurer

An official or executive in an organization responsible for managing and overseeing financial affairs and funds.