Equity Theory Provides Several Insights for Managerial Applications to Everyday

Multiple Choice

Equity theory provides several insights for managerial applications to everyday situations in the workplace. Which of the following statements is NOT true in this regard?

A) People tend to take a multifaceted view of the rewards they receive from the organization.
B) The basis for organizational rewards should be clearly communicated to employees.
C) People base their experience of equity on their perceptions, not on reality.
D) Formal and informal organizational rewards are equally observable to individuals when formulating equity perceptions.
E) Employees' perceptions may differ from the manager's perceptions.