ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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A real estate firm faces two kinds of employees, those able to sell 10 houses per year, and those able to sell 5 units per year. High-productivity employees are willing to work for $100,000/year, low-productivity employees are willing to work for $50,000/year. Which compensation scheme would be able to weed out the low-productivity workers best?
a. offer a salary of 100K
b. Offer a salary of $75K with unit commission
c. officer a sale commission of $10K per unit
d. Office a sales commission of $20K a unity starting with unity 5
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