Which of the Following Is NOT a Common Goal of Compensation

question 14

Multiple Choice

Which of the following is NOT a common goal of compensation policy?

• A) to punish employees for poor performance
• B) to reward employees' past performance
• C) to maintain the budget
• D) to attract new employees

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Definitions:

Average Cost

The total cost of production divided by the quantity of output produced, representing the cost per unit of output.

Marginal Cost

The rise in overall expenses incurred from manufacturing an extra unit of a good or service.

Economic Profit

The separation between total proceeds and cumulative costs, covering both explicit financial outlays and implied expenses.

Opportunity Costs

The loss of potential gain from other alternatives when one particular alternative is chosen over others.