Which of the Following Statements About Salesperson Compensation Is FALSE

question 41

Multiple Choice

Which of the following statements about salesperson compensation is FALSE?

• 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) None of these alternatives is FALSE.

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Definitions:

Duties of Insurer

The responsibilities an insurance company is bound to fulfill, including issuing policies, collecting premiums, and paying out claims.

Auto Loan

Financing specifically designed to allow individuals to purchase vehicles by borrowing money which is then paid back over time.

Loan Broker

An intermediary who assesses a borrower's needs and matches them with potential lenders, facilitating the process of obtaining a loan.

Auto Dealer

A business that sells new or used automobiles at the retail level, typically based on a dealership contract with an automaker or sales subsidiary.