Which of the Following Is When Compensation Is Tied to Unit-Level

question 8

Multiple Choice

Which of the following is when compensation is tied to unit-level performance where revenue increases (or cost savings) are shared with an employee?

• A) piece-meal plan
• B) gain-sharing plan
• C) stock options
• D) profit-sharing plan

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Definitions:

Capital Intensive

Describes industries or businesses that require large investments in capital assets relative to labor to produce goods or services.

Productivity

The measure of how efficiently goods and services are produced, often evaluated by the output per unit of input.

Cast Bronze Valves

Valves made from bronze through a casting process, known for their durability and corrosion resistance.

Assembly Line

A manufacturing process in which parts are added to a product in a sequential manner using a combination of human and automated processes to complete the product.