Which of the Following Is Typically Classified as an Organizational

question 41

Multiple Choice

Which of the following is typically classified as an organizational incentive?

• A) Commissions
• B) Group team results
• C) Executive stock options
• D) Cost reductions

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Definitions:

Operating Expenses

Expenses incurred in the normal operation of a business, excluding the cost of goods sold.

Net Sales

This is the amount of sales generated by a company after deducting returns, allowances for damaged or missing goods, and any discounts allowed.

Gross Profit

The difference between revenue and the cost of goods sold before accounting for certain other costs.

Net Sales

The revenue from sales after deducting returned goods, allowances for damaged or missing goods, and any discounts allowed.