More and More Companies Are Moving Away from High-Commission Plans

question 47

Multiple Choice

More and more companies are moving away from high-commission plans because ________.

• A) outside salespeople tend to undermine the efforts of the inside sales team
• B) high-commission plans require salespeople to work overtime
• C) salespeople tend to become pushy which affects customer relationships
• D) salespeople are prone to taking multiple sales jobs to maximize their income
• E) salespeople end up spending too much time traveling to meet customers

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Definitions:

Corporate Bonds

Debt securities issued by corporations to finance their operations, investments, and other expenditures, paying periodic interest payments to bondholders.

Long Term Bonds

Debt securities with a maturity date longer than ten years, offering investors fixed interest payments.

Interest Rate Sensitivity

A measure of how the price of a financial asset changes in response to changes in interest rates.

Double Digit Yields

Interest or dividend rates that are in the double digits percentage-wise, indicating high returns on investment but typically with higher risk.