Which of the following occurs when employee bonuses are based upon reaching a financial target such as return on assets or net income?
A) piece-meal plan
B) gain-sharing plan
C) stock options
D) profit-sharing plan

Question

Quizplus · Accepted Answer

Profit-sharing plans distribute a portion of the company's profits to employees. If the bonus is based on reaching a financial target such as return on assets or net income, it falls under the profit-sharing category.

Which of the Following Occurs When Employee Bonuses Are Based