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If TruLite's factory workers receive an hourly wage, described by the equation; Compensation = $5.00 + .10Q, where Q is the number of light switches

If TruLite's factory workers receive an hourly wage, described by the equation; Compensation = $5.00 + .10Q, where Q is the number of light switches installed per hour, then:

Question 6 options:

1) the employee can remain completely risk-averse.
2) the employee must accept risk of production variability.
3) output becomes a subjective measure of performance.
4) there are no compensating differentials.

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