Which Type of Compensation Is Linked Directly to Individual, Team

question 7

Multiple Choice

Which type of compensation is linked directly to individual, team, or organizational performance?

• A)variable pay
• B)motivators
• C)wages
• D)salary

---

Definitions:

Closing Entry

Journal entries made at the end of an accounting period to transfer the balances of temporary accounts to permanent accounts, thereby resetting the temporary accounts for the next period.

Revenue and Expense Account Balances

Represents the amounts recorded in the financial statements for income earned and costs incurred by a company during a reporting period.

Adjusting Entry

A journal entry made at the end of an accounting period to allocate revenue and expenses to the correct periods.

Earnings Per Share

A financial metric calculated by dividing the net earnings available to common shareholders by the average outstanding shares.