Which of the following is a loan from the company to the employee that is carried forward indefinitely until the employee sells enough to repay it?
A)commission-plus-draw plan
B)a recoverable draw
C)a non-recoverable draw
D)an interest-free loan

Question

Quizplus · Accepted Answer

A recoverable draw is a type of loan from the company to the employee that is carried forward indefinitely until the employee sells enough to repay it. In contrast, a non-recoverable draw is a type of loan that does not need to be repaid by the employee, while an interest-free loan is a loan that does not charge any interest. A commission-plus-draw plan is a compensation plan that combines a base salary with commissions and a draw against future commissions.

Which of the Following Is a Loan from the Company