Aero Company Has Implemented a Gain Sharing Compensation Plan for Its

question 13

Multiple Choice

Aero Company has implemented a gain sharing compensation plan for its production employees. The plan is a Scanlon plan and the base period payroll costs are $10,000. The value of production in the base period was $100,000. The plan calls for labor savings to be added to, or excess labor costs to be deducted from, the bonus pool each quarter. The payroll costs and value of production in each quarter of the current year were:
-The bonus pool at the end of the year totals:

• A)($4,000).
• B)-0-.
• C)$4,000.
• D)None of the above is correct.

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Definitions:

Positive Energy

A contagious, uplifting, and encouraging attitude that boosts morale and productivity in the workplace.

Positive Emotions

are feelings that are enjoyable and uplifting, such as happiness, joy, and contentment, contributing to overall well-being and satisfaction.

Extraversion

A personality trait characterized by sociability, talkativeness, assertiveness, and high levels of emotional expressiveness.

Emotional Stability

An individual's ability to remain calm and composed, especially in stressful situations, reflecting low levels of neuroticism.