Question 1

Under a straight commission plan,compensation is based entirely on a percentage of sales.

Accepted Answer

A) True 
 B)False

Question 2

Gainsharing plans are designed to increase employee job satisfaction and improve customer awareness.

Accepted Answer

A) True 
 B)False

Question 3

_____ are a group of individuals who are over the age of 60 and are less likely to spend money on themselves.

Accepted Answer

A) Members of generation X 
B) Members of generation Y 
C) Boomers 
D) Traditionalists 
A) Members of generation X 
B) Members of generation Y 
C) Boomers 
D) Traditionalists

Question 4

Incentive plans can create an organizational environment of shared commitment since individuals contribute to organizational success.

Accepted Answer

A) True 
 B)False

Question 5

Standard hour plans are based on specific production standards set for individual jobs.

Accepted Answer

A) True 
 B)False

Question 6

In most profit-sharing plans,about 20 to 25 percent of net profits are shared with employees.

Accepted Answer

A) True 
 B)False

Question 7

Stock options are rights attached to the achievement of specific organizational objectives.

Accepted Answer

A) True 
 B)False

Question 8

Team incentive bonuses may be paid out in all of the following ways EXCEPT by distributing it:

Accepted Answer

A) equally among team members. 
B) proportion to each member's base pay. 
C) proportion to each member's relative contribution to the team. 
D) on the basis of individual performance appraisal. 
A) equally among team members. 
B) proportion to each member's base pay. 
C) proportion to each member's relative contribution to the team. 
D) on the basis of individual performance appraisal.

Question 9

A compensation plan that compensates sales employees based on a percentage of sales is known as a:

Accepted Answer

A) straight ratio plan. 
B) straight salary plan. 
C) straight commission plan. 
D) straight bonus plan. 
A) straight ratio plan. 
B) straight salary plan. 
C) straight commission plan. 
D) straight bonus plan.

Question 10

_____ describes the design of individual incentive plans.

Accepted Answer

A) Motivation 
B) Comprehensiveness 
C) Flexibility 
D) Consistency 
A) Motivation 
B) Comprehensiveness 
C) Flexibility 
D) Consistency

Question 11

A grant of units equal in value to fair market value or book value of a share of stock is known as:

Accepted Answer

A) stock appreciation rights. 
B) a stock purchase. 
C) restricted stock. 
D) phantom stock. 
A) stock appreciation rights. 
B) a stock purchase. 
C) restricted stock. 
D) phantom stock.

Question 12

A bonus is an incentive payment that is supplemental to base wages.

Accepted Answer

A) True 
 B)False

Question 13

Under a straight commission plan,sales people may be allowed a salary draw.

Accepted Answer

A) True 
 B)False

Question 14

Team bonuses may be paid out equally to each team member,in proportion to their base pay,or in proportion to their relative contribution to the team.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following is NOT a reason for variable pay plans to not achieve their proposed objectives or lead to organizational improvements?

Accepted Answer

A) Failure of incentive plans to satisfy employee expectations for pay gains 
B) Employment of employee and management committees to gain cost-reduction improvements 
C) Failure of management in giving adequate attention to the design and implementation of a plan 
D) Reduced liability of employees in affecting performance standards 
A) Failure of incentive plans to satisfy employee expectations for pay gains 
B) Employment of employee and management committees to gain cost-reduction improvements 
C) Failure of management in giving adequate attention to the design and implementation of a plan 
D) Reduced liability of employees in affecting performance standards

Question 16

When the determination of a bonus includes both production employees and nonproduction employees and this bonus is based on overall group productivity,which type of gainsharing program is being used?

Accepted Answer

A) Profit sharing 
B) The Rucker Plan 
C) Improshare 
D) The Scanlon Plan 
A) Profit sharing 
B) The Rucker Plan 
C) Improshare 
D) The Scanlon Plan

Question 17

Briefly discuss three individual incentive plans.

Accepted Answer

(Students should discuss three of the fo

Question 18

When employees receive a certain rate for each unit produced,they are working under the _____ incentive plan.

Accepted Answer

A) differential piece rate 
B) standard piece rate 
C) straight piecework 
D) individual rate pay 
A) differential piece rate 
B) standard piece rate 
C) straight piecework 
D) individual rate pay

Question 19

_____ is a bonus incentive plan which uses employee and management committees to gain cost-reduction improvements.

Accepted Answer

A) Piecework 
B) The Rucker Plan 
C) The Scanlon Plan 
D) Improshare 
A) Piecework 
B) The Rucker Plan 
C) The Scanlon Plan 
D) Improshare

Question 20

Organizational goals can impact choice of incentive plans.

Accepted Answer

A) True 
 B)False

Under a straight commission plan,compensation is based entirely on a percentage of sales.

Gainsharing plans are designed to increase employee job satisfaction and improve customer awareness.

_____ are a group of individuals who are over the age of 60 and are less likely to spend money on themselves.

Incentive plans can create an organizational environment of shared commitment since individuals contribute to organizational success.

Standard hour plans are based on specific production standards set for individual jobs.

In most profit-sharing plans,about 20 to 25 percent of net profits are shared with employees.

Stock options are rights attached to the achievement of specific organizational objectives.

Team incentive bonuses may be paid out in all of the following ways EXCEPT by distributing it:

A compensation plan that compensates sales employees based on a percentage of sales is known as a:

_____ describes the design of individual incentive plans.

A grant of units equal in value to fair market value or book value of a share of stock is known as:

A bonus is an incentive payment that is supplemental to base wages.

Under a straight commission plan,sales people may be allowed a salary draw.

Team bonuses may be paid out equally to each team member,in proportion to their base pay,or in proportion to their relative contribution to the team.

Which of the following is NOT a reason for variable pay plans to not achieve their proposed objectives or lead to organizational improvements?

When the determination of a bonus includes both production employees and nonproduction employees and this bonus is based on overall group productivity,which type of gainsharing program is being used?

Briefly discuss three individual incentive plans.

When employees receive a certain rate for each unit produced,they are working under the _____ incentive plan.

_____ is a bonus incentive plan which uses employee and management committees to gain cost-reduction improvements.

Organizational goals can impact choice of incentive plans.

The Challenge of Human Resources Management

Strategy and Human Resources Planning

Equal Employment Opportunity and Human Resources Management

Job Analysis and Job Design

Expanding the Talent Pool: Recruitment and Careers

Employee Selection

Training and Development

Performance Management and the Employee Appraisal Process

Managing Compensation

Employee Benefits

Promoting Safety and Health

Employee Rights and Discipline

The Dynamics of Labor Relations

International Human Resources Management

Creating High-Performance Work Systems

Filters

Exam 10: Pay-For-Performance: Incentive Rewards

Under a straight commission plan,compensation is based entirely on a percentage of sales.

Gainsharing plans are designed to increase employee job satisfaction and improve customer awareness.

_____ are a group of individuals who are over the age of 60 and are less likely to spend money on themselves.

Incentive plans can create an organizational environment of shared commitment since individuals contribute to organizational success.

Standard hour plans are based on specific production standards set for individual jobs.

In most profit-sharing plans,about 20 to 25 percent of net profits are shared with employees.

Stock options are rights attached to the achievement of specific organizational objectives.

Team incentive bonuses may be paid out in all of the following ways EXCEPT by distributing it:

A compensation plan that compensates sales employees based on a percentage of sales is known as a:

_____ describes the design of individual incentive plans.

A grant of units equal in value to fair market value or book value of a share of stock is known as:

A bonus is an incentive payment that is supplemental to base wages.

Under a straight commission plan,sales people may be allowed a salary draw.

Team bonuses may be paid out equally to each team member,in proportion to their base pay,or in proportion to their relative contribution to the team.

Which of the following is NOT a reason for variable pay plans to not achieve their proposed objectives or lead to organizational improvements?

When the determination of a bonus includes both production employees and nonproduction employees and this bonus is based on overall group productivity,which type of gainsharing program is being used?

Briefly discuss three individual incentive plans.

When employees receive a certain rate for each unit produced,they are working under the _____ incentive plan.

_____ is a bonus incentive plan which uses employee and management committees to gain cost-reduction improvements.

Organizational goals can impact choice of incentive plans.

The Challenge of Human Resources Management

Strategy and Human Resources Planning

Equal Employment Opportunity and Human Resources Management

Job Analysis and Job Design

Expanding the Talent Pool: Recruitment and Careers

Employee Selection

Training and Development

Performance Management and the Employee Appraisal Process

Managing Compensation

Employee Benefits

Promoting Safety and Health

Employee Rights and Discipline

The Dynamics of Labor Relations

International Human Resources Management

Creating High-Performance Work Systems

Filters