Which of the Following Statements About the Straight Commission Compensation

Multiple Choice

Which of the following statements about the straight commission compensation plan is true?

A) Financial administrators believe that commission compensation plans are anxiety producing and often try to dissuade organizations from implementing such a plan
B) Straight commission compensation is appropriate for companies that require its sales force to engage in missionary selling
C) Commission compensation plans are especially advantageous for companies that are short of working capital
D) Salespeople on a straight commission plan are more likely to engage in making cold calls than salespeople on a straight salary plan
E) Straight commission compensation plans are inherently unfair