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    Question

    Which of the following statements correctly

    distinguishes an incentive from a reward in an organisational context? 
    A It is granted as appreciation for past achievements Correct Answer Incorrect Answer
    B It is provided after completion of assigned work Correct Answer Incorrect Answer
    C It is designed to motivate employees towards higher future performance Correct Answer Incorrect Answer
    D It compensates employees for services already rendered Correct Answer Incorrect Answer
    E It recognises seniority rather than productivity Correct Answer Incorrect Answer

    Solution

    An incentive is a motivating factor that encourages one to do something or perform. A reward is something given on achievement of a target/performance/ recognition of good behaviour.   As such, incentive is forward looking and a promise for future, while reward is actual benefit received for past performance. 

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