The Most Common Type of Incentive Plan,which Compares a Worker's

question 144

Multiple Choice

The most common type of incentive plan,which compares a worker's performance against an objective standard with pay determined by his or her own performance,is known as

• A)a profit-sharing plan.
• B)a stock plan.
• C)a gainsharing plan.
• D)an individual plan.
• E)a particularized plan.

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Definitions:

CAPM

The Capital Asset Pricing Model, a finance theory that describes the relationship between systematic risk and expected return for assets, particularly stocks.

International Stocks

Shares of companies located outside the investor's home country, offering a way to diversify investment portfolios across global markets.

Consumption Baskets

A collection of goods and services used to represent what is consumed by a typical household, employed in calculating the cost of living and inflation.

Future Rate

The anticipated interest rate or exchange rate of a financial instrument at a future point in time.