When Remunerating Salespeople, Commissions Are Advantageous as They Are an Incentive

question 65

Multiple Choice

When remunerating salespeople, commissions are advantageous as they are an incentive for a salesperson to sell more as they are directly tied to _______ levels.

• A)stock
• B)customer service
• C)sales
• D)profit

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Definitions:

Relative Measurements

Relative measurements assess the value or performance of something in comparison to other items or benchmarks.

Absolute Measure

A quantitative metric that represents objective data or values, without comparison to other measures or relative benchmarks.

Supply Chain

A network of businesses, people, activities, information, and resources involved in moving a product or service from supplier to customer.

Relative Measure

A metric that compares performance, values, or other quantifiable factors to a standard or to each other instead of using absolute numbers.