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A Sales Compensation Plan Involving a Combination of Salary Plus

Question 46

Multiple Choice

A sales compensation plan involving a combination of salary plus commission on net sales is popular because it:


A) Provides the reps with more security than other plans.
B) Offers some of the advantages of a salary plus the incentive and flexibility features of a commission.
C) Is the lowest cost plan.
D) Provides more incentive than other plans.
E) Gives management the greatest degree of control over the reps.

Correct Answer:

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