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If TruLite's Factory Workers Receive an Hourly Wage,described by the Equation;

Question 33

Multiple Choice

If TruLite's factory workers receive an hourly wage,described by the equation; Compensation = $5.00 + .10Q,where Q is the number of light switches installed per hour,then:


A) the employee can remain completely risk-averse.
B) the employee must accept risk of production variability.
C) output becomes a subjective measure of performance.
D) there are no compensating differentials.

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