Which Is the Most Commonly Used and Oldest Type of Incentive

question 42

Multiple Choice

Which is the most commonly used and oldest type of incentive plan system of pay and is based on the number of items processed by each individual worker in a unit of time?

• A) Standard hour plan
• B) Item plan
• C) Piecework plan
• D) Process plan
• E) Gainsharing plan

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Definitions:

Indirect Method

An approach to assemble the cash flow statement by adjusting net income for fluctuations in balance sheet accounts to determine the cash flow originating from operations.

Operating Activities

The component of cash flow statement that reflects the cash generated or used by the core business operations.

Net Cash

The amount of cash available after accounting for cash inflows and outflows, indicating a company's liquidity.

Indirect Method

A method of reporting net cash flow from operating activities on the cash flow statement by adjusting net income for changes in the balance sheet accounts.