14
QuizMultiple Choice

Variable Earnings

Question 14 • 26-27 DAEP Financial Math Q1 - Original Credit

Which of the following statements is always true?

Answer
A
Workers being paid on commission make less money than if they are salaried.
B
Workers being paid on commission have a salary that varies based on their performance.
C
Workers being paid on commission are stressed over the amount of earnings they will have.
D
Workers being paid on commission increase the accounting costs of the employer.

Explanation

Commission pay is tied to sales or another measure of performance, so a worker’s earnings vary with how much they achieve. That makes “Workers being paid on commission have a salary that varies based on their performance” the best answer. Commission workers do not always earn less, feel stressed, or increase their employer’s accounting costs.

AI-written and checked against the verified answer.

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