A Scanlon Plan Is a Type of ______ Compensation Plan

question 34

Multiple Choice

A Scanlon plan is a type of ______ compensation plan.

• A)pay-for-knowledge
• B)pay-for-performance
• C)benchmarking
• D)gainsharing
• E)profit-sharing

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Definitions:

Treasury Bond

A long-term, fixed-interest U.S. government debt security with a maturity of more than ten years.

Yield

Yield is the income return on an investment, expressed as a percentage of the investment’s cost or current market value, commonly used for bonds and dividend-paying stocks.

Zero-Coupon Bonds

Bonds that don’t make periodic interest payments but are issued at a discount to their face value and redeemable for the face amount at maturity.

Expected Interest Rate

The anticipated rate at which interest is to be paid by a borrower for the use of money.