Which of the Following Is Not a Benefit of a Business

question 26

Multiple Choice

Which of the following is not a benefit of a business plan?

• A) Provides a formal statement of direction and purpose for the business entity.
• B) Provides management and employees with a set of clearly defined goals.
• C) Allows management to set their own goals.
• D) Assists in the evaluation process of the business entity.

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Definitions:

Straight Piecework Plan

A compensation system where workers are paid a fixed rate for each unit produced or action completed, encouraging productivity.

Differential Piece Rate Plan

A compensation system where employees are paid based on the quantity of work produced, with different rates applied based on performance levels.

Merit Pay Plan

A compensation strategy where employees are rewarded based on their performance and achievements, encouraging higher levels of effort and productivity.

Individual Performance

The level of efficiency and effectiveness with which an individual accomplishes their job-related tasks, goals, and responsibilities.