Cost Reimbursement Analysis

208 Words1 Pages
Direct and limited reimbursement plans are different. Direct expense reimbursement plans designate reimbursement of all expenses that are reasonable within the sales effort of salespeople (Johnston & Marshall, 2009). Limited expense reimbursement plans allow for a pre-set limit of expenses (Johnston & Marshall, 2009). The pre-set limit of expenses can be reimbursed for specific expense occasions or provided as a one time expense budget payment. The type of reimbursement plan that would work best for the MedTech Pharmaceuticals company would depend upon the goals of the company. The current reimbursement plan includes $250 per month for automobile expenses and $50 per month for miscellaneous expenses (Johnston & Marshall, 2009). This reimbursement