Which of the Following Is the First Step in the Six-Stage

question 1

Multiple Choice

Which of the following is the first step in the six-stage process of compensation communication?

• A)evaluating the compensation program
• B)defining the objectives of the communication program
• C)developing a communicating strategy for the compensation program
• D)collecting information from executives, managers, and employees concerning their understanding of existing compensation programs
• E)determining the most effective media with which to communicate compensation program

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Definitions:

Operating Profit

The profit earned from a firm's core business operations, excluding deductions of taxes and interest.

Mark-up

The amount added to the cost price of goods to cover overhead and profit; typically expressed as a percentage of the cost.

Unit Cost

Unit cost is the total expense incurred to produce, store, and sell one unit of a product or service, including both fixed and variable costs.

Operating Profit

Income from business operations after operating expenses are subtracted from gross profits, but before taxes and interest expenses.