Q1. Total cost of the production, as you already know, is divided onto fixed and variable costs. Examine the different parts of the total cost and make your own conclusion, dividing them onto two main groups. On one side that that belong to the fixed costs and on the other side, costs that belong to the group of variable costs of the production from your point of view?
Q2. Describe the various ways to apply the theory of incentive compensation. Discuss how different is an incentive compensation applied in the various industries? As earlier you use real life examples and examples you create in your own fantasies. You can also connect here an individual performance evaluation with incentive compensation and prove that both can be applied in our real life Examples?