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Kitchengear of Maine Wants to Use a Salary-Only Plan for Compensating

Question 103

Multiple Choice

Kitchengear of Maine wants to use a salary-only plan for compensating its sales people. This plan may not be such a good idea because the salary-only plan:


A) encourages high-pressure selling.
B) provides incentives for the performance of nonselling activities.
C) is more complicated to administer than a commission plan.
D) ties selling costs too directly to sales volume.
E) cannot be used to introduce a new product.

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