Asked by KAPIL PATEL on Jul 29, 2024

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ABC Corporation has a sales compensation plan that requires salespeople to be paid for performing various duties not reflected in their sales volume. What type of pay plan does this exemplify?

A) a straight salary plan
B) a merit plan
C) lump-sum merit pay
D) a standard hour plan

Sales Compensation Plan

A system designed to reward sales employees with commissions, bonuses, or other incentives based on their performance or sales achievements.

Straight Salary Plan

A compensation plan that permits salespeople to be paid for performing various duties that are not reflected immediately in their sales volume.

Sales Volume

The total quantity of products or services sold by a company within a specific period, often used as a measure of business activity.

  • Become familiar with various compensation and incentive programs and their fitting applications.
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RH
Rachel HerrarteAug 01, 2024
Final Answer :
A
Explanation :
A straight salary plan pays employees a fixed amount regardless of sales volume, allowing for compensation for various duties beyond sales.