Flagon Inc., a bottle manufacturing company, pays its employees 50 cents for every bottle that is produced in addition to the production rate of 200 bottles per day. Which of the following compensation systems has Flagon adopted?

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Flagon Inc. has adopted a piecework compensation system where the employees are paid per unit of output. In this case, the employees are paid 50 cents for every bottle they produce in addition to a base production rate of 200 bottles per day. Commission is usually a percentage of the sales revenue and is not applicable here, while profit sharing and stock options are different types of compensation systems that are not relevant to this scenario.