The Most Frequently Used Type of Compensation Plan for Salespeople

question 304

Multiple Choice

The most frequently used type of compensation plan for salespeople is a

• A) straight salary compensation plan.
• B) straight commission compensation plan.
• C) combination compensation plan.
• D) weighted compensation plan.
• E) market share compensation plan.

---

Definitions:

Turnover

The rate at which inventory or assets of a business are replaced or sold within a given period.

Year 1

The initial year of a time series or the first year of operation.

Combined Turnover

Generally refers to the total amount of assets or inventory turned over in a specific period by combining different business segments or product lines.

Investment Opportunity

A financial venture or asset that offers the potential for profitable returns, through interests, dividends, or capital appreciation.