Examlex
Citrus Inc.,a leading Internet service provider,announced an incentive for sales persons who exceeded their sales targets.The company hoped that this reward would increase its customer base.Unfortunately,the company did not witness any substantial increase in the number of its customers as very few sales persons exceeded the target marginally.Which of the following reinforcement contingencies must be applied in this scenario?
Useful Life
The estimated duration of time that an asset is expected to be economically usable by the owner.
Prepaid Item
An expense paid in advance before receiving the benefit of the service or good.
Accrued Liability
A financial obligation that a company has incurred but has not yet paid out or recorded in its financial statements.
Accrual Basis
An accounting method where income and expenses are recorded when they are earned or incurred, regardless of when the cash is received or paid.
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