Which of the Following Statements About Salesperson Compensation Is True

question 85

Multiple Choice

Which of the following statements about salesperson compensation is true?

• A)Commissions reduce the need for working capital.
• B)Incentives must be carefully aligned with the firm's objectives.
• C)Compensation plans should be clear.
• D)Sales managers must plan,implement,and control.
• E)All these answers are correct.

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Definitions:

Poisson Distribution

A probability distribution that expresses the probability of a given number of events occurring in a fixed interval of time or space when these events occur with a known constant rate and independently of the time since the last event.

Expected Frequency

The predicted number of times an event or outcome occurs within a specific interval, based on a probability model.

Uniformly Distributed

A type of distribution in which all outcomes are equally likely; the probability density function is constant.

Tax Proposal

A plan or suggestion, typically made by a governing body, to impose or alter taxes.