A compensation method used to correct for the higher costs of goods and services overseas is the balance sheet approach.

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The balance sheet approach is a compensation method used to correct for the higher costs of goods and services overseas. This approach involves adjusting the compensation package to ensure that the buying power of the employee is maintained when they move to a new location with a higher cost of living. This is achieved by considering various factors such as tax differentials, exchange rates, and cost-of-living indexes.

A Compensation Method Used to Correct for the Higher Costs