Which Type of Incentive Plan Rewards Team Members When Agreed-Upon

question 54

Multiple Choice

Which type of incentive plan rewards team members when agreed-upon performance standards are met or exceeded?

• A)gain sharing plan
• B)profit sharing plan
• C)employee stock ownership plan
• D)group-based incentive plan

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Definitions:

Direct Labor Costs

Costs that are directly associated with the production of goods or services, typically wages paid to workers directly involved in manufacturing or production.

Indirect Cost

Expenses that are not directly attributable to a specific cost object, such as overhead costs.

Plant Manager's Salary

A fixed cost not directly tied to the level of production or sales, representing the compensation of the individual overseeing the operations of a manufacturing facility.

Factory Overhead

All indirect costs associated with manufacturing, excluding direct materials and direct labor, such as utilities, depreciation, and maintenance.