An Incentive Is a

question 305

Multiple Choice

An incentive is a

• A)need.
• B)want.
• C)reward for desired behavior.
• D)resource.

---

Definitions:

Return on Investment

A measure of the profitability of an investment, calculated as the net profit of the investment divided by the initial cost.

Controllable Fixed Costs

Expenses that can be managed or influenced by decisions made by a company's management, such as advertising expenditures.

Operating Assets

Assets used by a business in its day-to-day operations to generate revenue.

Controllable Margin

A financial metric that represents the amount of profit or contribution margin that management can directly influence through its decisions.