Which of the Following Is the Most Correct Statement About

question 130

Multiple Choice

Which of the following is the most correct statement about piece rates?

• A) A piece rate firm would attract less productive workers because piece rates reduce the incentive to work hard.
• B) A piece rate firm would attract more productive workers because piece rates usually require some form of quality control.
• C) A piece rate firm would attract less productive workers because piece rates do not work well when quality is important.
• D) A piece rate firm would attract more productive workers because piece rates give productive workers a chance to earn more money.

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Definitions:

Office Supplies

Items used in offices for daily operations, such as paper, pens, and other stationery items, usually considered short-term assets.

Credit Memo

A paper provided by the seller to the buyer that decreases the amount the buyer must pay to the seller, as per a previously issued invoice.

Note Receivable

A written promise for the payment of a specified amount of money, by a debtor to the lender, with interest, at a future date.

Journalize

The process of recording financial transactions in a journal, which is the first step in the accounting cycle.