__________ pay is one of the most frequently used forms of incentive compensation to motivate specific goals.
A) Long-term incentive
B) Short-term incentive
C) Profit sharing
D) Stock option

Question

Quizplus · Accepted Answer

Short-term incentive pay is commonly used to encourage employees to work towards specific goals, such as meeting sales targets or achieving a certain level of productivity. This type of incentive pay is typically paid out annually or quarterly, and is based on the achievement of predetermined performance metrics. Long-term incentive pay, on the other hand, is generally used to reward employees for meeting longer-term goals, such as achieving strategic objectives or growing the company's market share over a multi-year period. Profit sharing and stock options are other forms of incentive compensation that companies may use to motivate employees and reward performance, but they are not as commonly used as short-term or long-term incentive pay.

__________ Pay Is One of the Most Frequently Used Forms