Which of the following would be considered a contingent contract?

Question

Quizplus · Accepted Answer

All of the options (piece rate contract, profit-sharing contract, and contract with a bonus) are considered contingent contracts because the payment or reward is contingent upon certain conditions being met. In a piece rate contract, the payment is contingent upon the completion of each piece of work, while in a profit-sharing contract, the payout is contingent upon the company making a profit. A contract with a bonus is contingent upon the employee meeting or exceeding certain performance goals or targets.

Which of the Following Would Be Considered a Contingent Contract