Which of the Following Questions Need to Be Answered When

question 36

Multiple Choice

Which of the following questions need to be answered when an organization is establishing a commission pay program?

• A) Can the company afford to do this?
• B) How do we guarantee everyone receives the same commission payout?
• C) Are the methods to be used to measure performance flexible enough to allow for any possible sales event?
• D) To what measures should commissions be tied to curb salespersons' behaviors that could negatively affect the organization?
• E) Does each salesperson have the same number of accounts?

---

Definitions:

Solar Heating System

A system that captures sunlight to generate heat, typically used for water heating or space heating in buildings.

Large Profits

Significant earnings that exceed the costs and expenses of operating a business.

Innovation

The process of developing new products, services, or methods, often leading to increased efficiency or value.

Economic Profit

The difference between a firm's total revenue and total costs, including both explicit and implicit costs, measuring the firm's performance beyond the basic business costs.