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The Benefits of Using Deferred Compensation Include All of the Following

Question 9

Multiple Choice

The benefits of using deferred compensation include all of the following, except that:


A) It serves as a screening device for hiring new workers.
B) It drives a wedge between the marginal revenue product and the wage.
C) It raises the cost to the employee of being fired for poor work, absenteeism and other work-ethnic related issues.
D) It fosters employee loyalty and reduces unwanted turnover.
E) It strengthens work incentives.

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