45. Which incentive provides for payment of profit shares at regular intervals?
Answer: B
Wage-dividend plan provides for payment of profit shares at regular intervals.
The wage-dividend plan is designed to distribute profit shares to employees at regular intervals, which aligns with the characteristics of profit-sharing arrangements.
A) Bonus-sharing plan
The bonus-sharing plan typically involves one-time bonuses awarded based on performance metrics or organizational profitability, rather than providing regular profit share payments. Thus, it does not fit the criteria of making profit shares payable at consistent intervals.
B) Wage-dividend plan
The wage-dividend plan directly addresses the question by establishing a structured approach to distributing profit shares at regular intervals, ensuring that employees receive a share of the profits systematically.
C) Cash plan
A cash plan generally refers to a direct payment system for wages or bonuses in cash, rather than a structured profit-sharing mechanism. It does not specify regular payments of profit shares, thereby making it an incorrect choice for the question posed.
D) Stock option plan
The stock option plan allows employees to purchase company stock at a predetermined price but does not guarantee regular payments of profit shares. Instead, it focuses on equity compensation rather than cash distributions at regular intervals.
Conclusion
The wage-dividend plan is definitively the correct choice as it specifically involves regular payments of profit shares to employees. Other options, while related to employee compensation, do not align with the requirement of consistent profit share distributions. Thus, they fail to meet the criteria set by the question.