testitemfilech11.docx
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Chapter11:
EstablishingStrategicPayPlans
MultipleChoice
1._____referstoallformsofpayorrewardsgoingtoemployeesandarisingfromtheiremployment.
a.Reimbursement
b.Employeecompensation
c.Salary
d.Benefits
e.Remuneration
(b;easy)
2.Directfinancialpaymentsincludeallofthefollowingexcept_____.
a.wages
b.insurance
c.salaries
d.incentives
e.commissions
(b;easy)
3.Whichofthefollowingiscategorizedasanindirectpaymentportionofemployeecompensation?
a.wages
b.salaries
c.employer-paidinsurance
d.commissions
e.bonuses
(c;moderate)
4.Johisasalesrepresentativeinajewelrystore.Hetypicallyworks40hoursperweekandhispayiscompletelybasedonhissales.Heearnsacommissiononeverysalehemakes.Hispayisbasedon_____.
a.time
b.pay
c.incentives
d.bonuses
e.seniority
(b;moderate)
5.Whichofthefollowingfactorsaffectsthedesignofanypayplan?
a.legal
b.union
c.companypolicy
d.equity
e.alloftheabove
(e;easy)
6.
Ingeneral,themainissueincollectivebargainingis_____.
a.timeoffwithpay
b.wagerates
c.incomesecurity
d.cost-of-livingadjustments
e.healthcarebenefits
(b;moderate)
7.Unionsnegotiateallofthefollowingpay-relatedissuesexcept_____.
a.wagerates
b.incomesecurity
c.unpaidleavetocareforanimmediatefamilymember
d.timeoffwithpay
e.alloftheabove
(c;moderate)
8.Whenlonger-termemployees’salariesarelowerthanthoseofworkersenteringthefirmtoday,_____hasoccurred.
a.wagecurve
b.salarycompression
c.agediscrimination
d.marketexpansion
e.rewardstrategy
(b;easy)
9.Salarycompressioncanbecausedby_____.
a.recession
b.inflation
c.economicdepression
d.alloftheabove
e.noneoftheabove
(b;difficult)
10.Howarecost-of-livingdifferentialshandledbyemployerswhenemployeesaretransferredfromonelocationtoonewithahighercostofliving?
a.paymentofanonrecurring,lumpsumamount
b.paymentofadifferentialforongoingcosts
c.raiseemployee’sbasesalary
d.payanongoingdifferentialforongoingcostsplusalumpsumamount
e.alloftheabove
(e;easy)
11.Whenanemployeeistransferredtoaninternationallocationandhisorherbasesalaryreflectshisorherhomecountry’ssalarywithallowancesaddedforcost-of-livingdifferences,theemployerhasuseda_____salaryplan.
a.transfer
b.home-based
c.host-based
d.cost-of-living
e.allowancesincluded
(b;moderate)
12.Whenanemployeewhoistransferredtoanothercountryisassignedasalarybasedonthebasesalaryforthatpositioninthecountrywhereheorshewillwork,theemployerhasuseda_____salaryplan.
a.transfer
b.home-based
c.host-based
d.cost-of-living
e.allowancesincluded
(c;moderate)
13.Whousuallypaystheextrataxburdenresultingfromtaxesamanageroninternationalassignmentisliableforoverandabovethoseheorshewouldhavetopayinthehomecountry?
a.theemployee
b.theemployer
c.thehomecountry
d.thehostcountry
e.therearenoadditionaltaxburdens
(b;moderate)
14.Whattheoryofmotivationstatesthatpeoplearestronglymotivatedtomaintainabalancebetweenwhattheyperceiveastheirinputsorcontributionsandtheirrewards?
a.Maslow’shierarchyofneeds
b.Two-factortheory
c.Equitytheory
d.Learnedneedstheory
e.Expectancytheory
(c;moderate)
15.Whichofthefollowingisnotaformofequitythatshouldbeaddressedbymanagersdealingwithcompensationissues?
a.underreward
b.internal
c.external
d.individual
e.procedural
(a;moderate)
16.Whichformofequityreferstohowajob’spayrateinonecompanycomparestothejob’spayrateinothercompanies?
a.external
b.internal
c.distributive
d.individual
e.procedural
(a;easy)
17.
Whichformofequityreferstohowfairajob’spayrateis,whencomparedtootherjobswithinthesamecompany?
a.external
b.internal
c.distributive
d.individual
e.procedural
(b;easy)
18.Jakisasalesmanagerandherecentlylearnedthathumanresourcemanagerswithsimilarresponsibilitiesandspansofcontrolearnmorethanhedoes.Heisconcernedwiththe_____formofequity.
a.external
b.internal
c.distributive
d.individual
e.procedural
(b;moderate)
19.Whichformofequityreferstothefairnessofanindividual’spayascomparedwithwhathisorhercoworkersareearningforthesameorverysimilarjobswithinthecompany,basedoneachindividual’sperformance?
a.external
b.internal
c.distributive
d.individual
e.procedural
(d;easy)
20.Aminaisalawyerinamid-sizefirm.Sherecentlylearnedthatanotherlawyerwhojoinedthefirmatthesametimeearnsalowersalarythanshedoes.Aminaisexperiencingthe_____formofequity.
a.external
b.internal
c.distributive
d.individual
e.procedural
(d;easy)
21.Whichformofequityreferstotheperceivedfairnessoftheprocessesandproceduresusedtomakedecisionsregardingtheallocationofpay?
a.external
b.internal
c.distributive
d.individual
e.procedural
(e;easy)
22.
Externalequityrefersto_____.
a.howajob’spayrateinonecompanycomparesthejob’spayrateinothercompanies
b.howfairthejob’spayrateis,whencomparedtootherjobswithinthesamecompany
c.thefairnessofanindividual’spayascomparedwithwhathisorhercoworkersareearningforthesameorverysimilarjobswithinthecompany,basedoneachindividual’sperformance
d.theperceivedfairnessoftheprocessesandproceduresusedtomakedecisionsregardingtheallocationofpay
e.theuseofsalarysurveystomonitorlevelspaidforjobsindustry-wide
(a;moderate)
23.Internalequityrefersto_____.
a.howajob’spayrateinonecompanycomparesthejob’spayrateinothercompanies
b.howfairthejob’spayrateis,whencomparedtootherjobswithinthesamecompany
c.thefairnessofanindividual’spayascomparedwithwhathisorhercoworkersareearningforthesameorverysimilarjobswithinthecompany,basedoneachindividual’sperformance
d.theperceivedfairnessoftheprocessesandproceduresusedtomakedecisionsregardingtheallocationofpay
e.theuseofsalarysurveystomonitorlevelspaidforjobsindustry-wide
(b;moderate)
24.Individualequityrefersto_____.
a.howajob’spayrateinonecompanycomparesthejob’spayrateinothercompanies
b.howfairthejob’spayrateis,whencomparedtootherjobswithinthesamecompany
c.thefairnessofanindividual’spayascomparedwithwhathisorhercoworkersareearningforthesameorverysimilarjobswithinthecompany,basedoneachindividual’sperformance
d.theperceivedfairnessoftheprocessesandproceduresusedtomakedecisionsregardingtheallocationofpay
e.theuseofsalarysurveystomonitorlevelspaidforjobsindustry-wide
(c;moderate)
25.Proceduralequityrefersto_____.
a.howajob’spayrateinonecompanycomparesthejob’spayrateinothercompanies
b.howfairthejob’spayrateis,whencomparedtootherjobswithinthesamecompany
c.thefairnessofanindividual’spayascomparedwithwhathisorhercoworkersareearningforthesameorverysimilarjobswithinthecompany,basedoneachindividual’sperformance
d.theperceivedfairnessoftheprocessesandproceduresusedtomakedecisionsregardingtheallocationofpay
e.theuseofsalarysurveystomonitorlevelspaidforjobsindustry-wide
(d;moderate)
26._____isaformalandsystematiccomparisonofjobstodeterminetheworthofonejobrelativetoanother.
a.Jobanalysis
b.Jobevaluation
c.Benchmarkanalysis
d.Compensableevaluation
e.Jobranking
(b;easy)
27.Factorsthatestablishhowthejobscomparetooneanotherandsetthepayforeachjobarecalled_____.
a.compensablefactors
b.jobevaluationfactors
c.comparisonfactors
d.rankingfactors
e.analysisfactors
(a;easy)
28.Anothertermforjobclassificationis_____.
a.jobranking
b.jobgrading
c.jobcategorization
d.jobevaluation
e.noneoftheabove
(b;easy)
29.Whenusingthejobclassificationmethodofjobevaluation,raterscategorizejobsintogroupsofsimilarjobscalled_____.
a.classes
b.grades
c.sections
d.schedules
e.cohorts
(a;moderate)
30.Whenusingthejobclassificationmethodofjobevaluation,raterscategorizejobsintogroupsofjobsthataresimilarindifficultybutnotincontextcalled_____.
a.classes
b.grades
c.sections
d.schedules
e.cohorts
(b;moderate)
31.
Thepointmethodofjobevaluationentails_____.
a.identifyingseveralcompensablefactors,eachhavingseveraldegrees,andthedegreetowhicheachofthesefactorsispresentinthejob
b.rankingeachjobrelativetoallotherjobsbasedonsomeoverallfactor
c.usingraterstocategorizejobsintogroups
d.decidingwhichjobshavemoreofthechosencompensablefactors
e.noneoftheabove
(a;moderate)
32.Therankingmethodofjobevaluationentails_____.
a.identifyingseveralcompensablefactors,eachhavingseveraldegrees,andthedegreetowhicheachofthesefactorsispresentinthejob
b.rankingeachjobrelativetoallotherjobsbasedonsomeoverallfactor
c.usingraterstocategorizejobsintogroups
d.decidingwhichjobshavemoreofthechosencompensablefactors
e.noneoftheabove
(b;moderate)
33.Thejobgradingmethodofjobevaluationentails_____.
a.identifyingseveralcompensablefactors,eachhavingseveraldegrees,andthedegreetowhicheachofthesefactorsispresentinthejob
b.rankingeachjobrelativetoallotherjobsbasedonsomeoverallfactor
c.usingraterstocategorizejobsintogroups
d.decidingwhichjobshavemoreofthechosen
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