Todd,a financial analyst,was recently hired by Maxwell Enterprises.After one year with the firm,Todd will be eligible to receive a pay increase added to his base pay that is based on his performance level.Which term best describes this type of compensation?
A) commission
B) merit pay
C) piecework
D) spot bonus

Question

Quizplus · Accepted Answer

B)Merit pay is a pay increase added to employees' base pay based on their level of performance.Piecework is an incentive pay plan in which employees are paid for each unit they produce.Spot bonuses are relatively small monetary gifts provided to employees for outstanding work or effort during a reasonably short period of time.

Todd,a Financial Analyst,was Recently Hired by Maxwell Enterprises