Asked by Amanda Sammons on May 05, 2024

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Joe, Margaret, and Denise are co-workers.Joe produces five widgets and is paid $5.Margaret produces twenty widgets and is paid $20.Denise produces fifty widgets and is paid $50.These workers are being paid according to a(n) ________ pay plan.

A) merit
B) hourly
C) Scanlon
D) piece rate
E) lump sum

Piece Rate

A payment method where employees are paid a fixed rate for each unit of production completed, rather than receiving a fixed salary.

Widgets

Generic term used for any hypothetical or generic product, often used in discussions or explanations about manufacturing or economics.

  • Investigate the effectiveness of diverse salary configurations, including piece rate, variable pay, and merit pay, on labor productivity and cooperation among workers.
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AH
Allisa HitchenMay 10, 2024
Final Answer :
D
Explanation :
The workers are being paid based on the number of widgets they produce, which is characteristic of a piece rate pay plan. Each worker's pay is directly proportional to their output.