In four of the following pairs of concepts regarding compensation plans,the ideas are mutually incompatible or diametrically opposite.In which pair is there no conflict?
A)Plan should maximize salespeople's income and minimize company outlay.
B)Plan should provide greatest degree of security and incentive.
C)Plan should be extremely flexible yet simple and easy to administer.
D)Plan should provide both a competitive level and a competitive method of compensation.
E)Plan should encourage maximum effort in selling and non-selling activities by salespeople.

Question

Quizplus · Accepted Answer

The idea of providing both a competitive level and a competitive method of compensation is not mutually incompatible or diametrically opposite. It is possible to have a compensation plan that is both competitive in terms of amount and structure.

All the other pairs have conflicting or opposing concepts such as maximizing salespeople's income while minimizing company outlay, providing great security along with incentives, extreme flexibility with simplicity, and encouraging maximum effort in both selling and non-selling activities.

In Four of the Following Pairs of Concepts Regarding Compensation