Which of the Following Is a Reason Why Some Firms

question 228

Multiple Choice

Which of the following is a reason why some firms do not use commission pay?

• A)It gives workers incentive to produce more.
• B)It increases firm profits.
• C)It is difficult to measure the output and attribute output to a particular worker.
• D)The best workers stay and less productive workers leave.

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Definitions:

Depreciation

The allocation of the cost of a tangible asset over its useful life, reflecting the decrease in value over time due to usage, wear and tear, or obsolescence.

Accumulated Depreciation

The total depreciation amount that has been charged against a fixed asset's cost over its useful life to reflect wear and tear.

Equipment

Tangible property owned by a business used in operations, such as machinery, vehicles, or computers.

Balance

The difference between the total debits and credits in an account, or the equilibrium between two opposing forces or aspects.