Question 1

Stock options are best suited to motivate day-to-day effort or to attract and retain top individual performers.

Accepted Answer

A) True 
 B)False

Question 2

An employee who produces 10 components in an hour earns $9 ($.90 X 10)per hour,while an employee who produces 15 components earns $13.50 ($.90 x 15).This is an example of a:

Accepted Answer

A)  commission plan. 
B)  differential piece rate plan. 
C)  direct commission plan. 
D)  profit sharing plan. 
E)  straight piecework plan. 
A)  commission plan. 
B)  differential piece rate plan. 
C)  direct commission plan. 
D)  profit sharing plan. 
E)  straight piecework plan.

Question 3

Gainsharing addresses the challenge of identifying appropriate performance measures for complex jobs.

Accepted Answer

A) True 
 B)False

Question 4

The _____ has required companies to more clearly report executive compensation levels and the company's performance relative to that of competitors.

Accepted Answer

A)  National Credit Union Administration 
B)  Financial Industry Regulatory Authority 
C)  Commodity Futures Trading Commission 
D)  The Securities and Exchange Commission 
E)  Omnibus Budget Reconciliation Act 
A)  National Credit Union Administration 
B)  Financial Industry Regulatory Authority 
C)  Commodity Futures Trading Commission 
D)  The Securities and Exchange Commission 
E)  Omnibus Budget Reconciliation Act

Question 5

Martin owns and manages a small auto-parts shop.He determines the time required to complete each task in his shop.When an employee completes the repair in less time,he/she receives an amount of pay equal to the rate determined by Martin for .Martin is using a:

Accepted Answer

A)  standard hour plan. 
B)  differential piecework plan. 
C)  merit pay plan. 
D)  straight piecework plan. 
E)  Scanlon plan. 
A)  standard hour plan. 
B)  differential piecework plan. 
C)  merit pay plan. 
D)  straight piecework plan. 
E)  Scanlon plan.

Question 6

Organizations that want employees to focus on efficiency and on group incentives are most likely to implement a _____ program.

Accepted Answer

A)  gainsharing 
B)  standard hour 
C)  bonus 
D)  commission 
E)  piece rate pay 
A)  gainsharing 
B)  standard hour 
C)  bonus 
D)  commission 
E)  piece rate pay

Question 7

Team awards differ from group bonuses in that they:

Accepted Answer

A)  are typically plant-wide group incentive programs. 
B)  make payments in company stock rather than in cash. 
C)  are more likely to use a broad range of performance measures. 
D)  encourage competition among individual employees to achieve higher bonus. 
E)  give more importance to organizational performance than small groups' performance. 
A)  are typically plant-wide group incentive programs. 
B)  make payments in company stock rather than in cash. 
C)  are more likely to use a broad range of performance measures. 
D)  encourage competition among individual employees to achieve higher bonus. 
E)  give more importance to organizational performance than small groups' performance.

Question 8

Which of the following is a long-term incentive?

Accepted Answer

A)  Commission 
B)  Group bonus 
C)  Merit pay 
D)  Stock option 
E)  Piece rate 
A)  Commission 
B)  Group bonus 
C)  Merit pay 
D)  Stock option 
E)  Piece rate

Question 9

What are the different types of incentive pay? How should organizations choose the right type of incentive pay?

Accepted Answer

The many kinds of incentive pay fall int

Question 10

Incentive pay is influential because the amount paid is linked to certain predefined behaviors or outcomes.

Accepted Answer

A) True 
 B)False

Question 11

Which of the following types of incentive pay plans are used to reward individual performance?

Accepted Answer

A)  Gainsharing 
B)  Merit pay 
C)  Scanlon plan 
D)  Profit sharing 
E)  Stock ownership 
A)  Gainsharing 
B)  Merit pay 
C)  Scanlon plan 
D)  Profit sharing 
E)  Stock ownership

Question 12

Successful gainsharing plans include employee stock ownership plans.

Accepted Answer

A) True 
 B)False

Question 13

An organization uses a gainsharing program in which employees receive a bonus if the ratio of labor costs to the sales value of production is below a set standard.This incentive plan is referred to as:

Accepted Answer

A)  group bonus. 
B)  merit pay plan. 
C)  Scanlon plan. 
D)  piecework rate. 
E)  team award. 
A)  group bonus. 
B)  merit pay plan. 
C)  Scanlon plan. 
D)  piecework rate. 
E)  team award.

Question 14

The balanced-scorecard approach is not particularly useful in designing executive pay.

Accepted Answer

A) True 
 B)False

Question 15

Incentive pay for executives lays the groundwork for significant ethical issues.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following incentive plans would enable its employees to think like owners,taking a broad view of what they need to do in order to make the organization more effective?

Accepted Answer

A)  Merit pay 
B)  Gain sharing 
C)  Scanlon plan 
D)  Performance bonuses 
E)  Profit sharing 
A)  Merit pay 
B)  Gain sharing 
C)  Scanlon plan 
D)  Performance bonuses 
E)  Profit sharing

Question 17

In order to control compensation costs,administrators of merit pay programs must closely monitor the compa-ratio and the:

Accepted Answer

A)  number of pay grades in the pay structure. 
B)  an individual's performance ratings. 
C)  number of new hires in the company. 
D)  company's stock price in the financial year. 
E)  average pay of the area where the organization is functioning. 
A)  number of pay grades in the pay structure. 
B)  an individual's performance ratings. 
C)  number of new hires in the company. 
D)  company's stock price in the financial year. 
E)  average pay of the area where the organization is functioning.

Question 18

ESOP does not give employees the right to participate in votes by shareholders even if the stock is registered on a national exchange.

Accepted Answer

A) True 
 B)False

Question 19

By law,what is the minimum percentage of assets that an ESOP must invest in its company's stock?

Accepted Answer

A)  10 
B)  26 
C)  51 
D)  60 
E)  76 
A)  10 
B)  26 
C)  51 
D)  60 
E)  76

Question 20

Group bonuses typically reward the performance of all employees in an organization.

Accepted Answer

A) True 
 B)False

Stock options are best suited to motivate day-to-day effort or to attract and retain top individual performers.

An employee who produces 10 components in an hour earns $9 ($.90 X 10)per hour,while an employee who produces 15 components earns $13.50 ($.90 x 15).This is an example of a:

Gainsharing addresses the challenge of identifying appropriate performance measures for complex jobs.

The _____ has required companies to more clearly report executive compensation levels and the company's performance relative to that of competitors.

Martin owns and manages a small auto-parts shop.He determines the time required to complete each task in his shop.When an employee completes the repair in less time,he/she receives an amount of pay equal to the rate determined by Martin for .Martin is using a:

Organizations that want employees to focus on efficiency and on group incentives are most likely to implement a _____ program.

Team awards differ from group bonuses in that they:

Which of the following is a long-term incentive?

What are the different types of incentive pay? How should organizations choose the right type of incentive pay?

Incentive pay is influential because the amount paid is linked to certain predefined behaviors or outcomes.

Which of the following types of incentive pay plans are used to reward individual performance?

Successful gainsharing plans include employee stock ownership plans.

An organization uses a gainsharing program in which employees receive a bonus if the ratio of labor costs to the sales value of production is below a set standard.This incentive plan is referred to as:

The balanced-scorecard approach is not particularly useful in designing executive pay.

Incentive pay for executives lays the groundwork for significant ethical issues.

Which of the following incentive plans would enable its employees to think like owners,taking a broad view of what they need to do in order to make the organization more effective?

In order to control compensation costs,administrators of merit pay programs must closely monitor the compa-ratio and the:

ESOP does not give employees the right to participate in votes by shareholders even if the stock is registered on a national exchange.

By law,what is the minimum percentage of assets that an ESOP must invest in its company's stock?

Group bonuses typically reward the performance of all employees in an organization.

Managing Human Resources

Trends in Human Resource Management

Providing Equal Employment Opportunity and a Safe Workplace

Analyzing Work and Designing Jobs

Planning for and Recruiting Human Resources

Selecting Employees and Placing Them in Jobs

Training Employees

Managing Employees Performance

Developing Employees for Future Success

Separating and Retaining Employees

Establishing a Pay Structure

Providing Employee Benefits

Collective Bargaining and Labor Relations

Managing Human Resources Globally

Creating and Maintaining High-Performance Organizations

Filters

Exam 12: Recognizing Employee Contributions With Pay

Stock options are best suited to motivate day-to-day effort or to attract and retain top individual performers.

An employee who produces 10 components in an hour earns $9 ($.90 X 10)per hour,while an employee who produces 15 components earns $13.50 ($.90 x 15).This is an example of a:

Gainsharing addresses the challenge of identifying appropriate performance measures for complex jobs.

The _____ has required companies to more clearly report executive compensation levels and the company's performance relative to that of competitors.

Martin owns and manages a small auto-parts shop.He determines the time required to complete each task in his shop.When an employee completes the repair in less time,he/she receives an amount of pay equal to the rate determined by Martin for .Martin is using a:

Organizations that want employees to focus on efficiency and on group incentives are most likely to implement a _____ program.

Team awards differ from group bonuses in that they:

Which of the following is a long-term incentive?

What are the different types of incentive pay? How should organizations choose the right type of incentive pay?

Incentive pay is influential because the amount paid is linked to certain predefined behaviors or outcomes.

Which of the following types of incentive pay plans are used to reward individual performance?

Successful gainsharing plans include employee stock ownership plans.

An organization uses a gainsharing program in which employees receive a bonus if the ratio of labor costs to the sales value of production is below a set standard.This incentive plan is referred to as:

The balanced-scorecard approach is not particularly useful in designing executive pay.

Incentive pay for executives lays the groundwork for significant ethical issues.

Which of the following incentive plans would enable its employees to think like owners,taking a broad view of what they need to do in order to make the organization more effective?

In order to control compensation costs,administrators of merit pay programs must closely monitor the compa-ratio and the:

ESOP does not give employees the right to participate in votes by shareholders even if the stock is registered on a national exchange.

By law,what is the minimum percentage of assets that an ESOP must invest in its company's stock?

Group bonuses typically reward the performance of all employees in an organization.

Managing Human Resources

Trends in Human Resource Management

Providing Equal Employment Opportunity and a Safe Workplace

Analyzing Work and Designing Jobs

Planning for and Recruiting Human Resources

Selecting Employees and Placing Them in Jobs

Training Employees

Managing Employees Performance

Developing Employees for Future Success

Separating and Retaining Employees

Establishing a Pay Structure

Providing Employee Benefits

Collective Bargaining and Labor Relations

Managing Human Resources Globally

Creating and Maintaining High-Performance Organizations

Filters