You Were Given the Mandate by Your Boss to Change

question 47

Multiple Choice

You were given the mandate by your boss to change the compensation plan so that the total salesperson compensation (salary plus commission) is lowered. You think you have finally selected a compensation method and wage level that meets your boss's requirements. According to your text, what would you do next?

• A) Implement the plan immediately because it fits the requirement of lowering overall salesperson compensation.
• B) Get salesperson feedback about your ideas.
• C) Check to see how the salespeople would fare under the new plan by using sales figures from the previous year and calculating expecting compensation.
• D) Make sure that the accounting department can implement the new plan.
• E) Tell the salespeople that they have been overpaid and now you are bringing them back to reality.

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Definitions:

Acceptance

The act of agreeing to the terms of an offer, which then creates a binding contract.

Tractor-Trailer Rigs

Large vehicles commonly used for commercial transportation, consisting of a tractor unit that tows one or more trailers.

Stated Price

The price that is explicitly mentioned or listed as part of a transaction or contract.

Lease

Under Article 2A of the UCC, a transfer of the right to possess and use goods for a period of time in exchange for payment. In the context of real property, an agreement by which a property owner (landlord) agrees to give another party (the tenant) the exclusive right to possess the property for a limited time.