Which of the following statements is true of drawing accounts?
A) It is used to provide a steadier income for salespeople who work on commission.
B) It is used to motivate employees who receive a straight salary.
C) It is used to attract salespeople who are willing to sell low-margin items.
D) It is used to provide an additional income for full-time sales people.
E) It is used to pay employees for delivering good customer service.

Question

Quizplus · Accepted Answer

To provide a more steady income for salespeople who are paid by high-incentive plans,some retailers offer a drawing account.

Which of the Following Statements Is True of Drawing Accounts