Multiple Choice - Chapter 1

Front 1

Which of the following includes restrictions on executive pay that are designed to discourage executives from taking "unnecessary and excessive risks"?

Back 1

Troubled Asset Relief Program

Front 2

According to the text, if women had the same education, experience, and union coverage as men and also worked in the same industries and occupations, they would be expected to earn about _____ of what men earn.

Back 2

90%

Front 3

Employers spend ____ cents for benefits in addition to each dollar of wages or salaries.

Back 3

44

Front 4

Hourly compensation costs for manufacturing workers are higher in _____ than the U.S.

Back 4

Germany

Front 5

One of the reasons 8 in 10 working families have no health insurance is because ______.

Back 5

many small employers do not offer health insurance

Front 6

_____ would be most concerned about executive pay.

Back 6

Stockholders

Front 7

_____ would be most concerned about compensation as a major expense.

Back 7

Managers

Front 8

The primary reason compensation is important to managers is because:

Back 8

employees regard it as a reward.

Front 9

"Say on pay" is part of a law designed to protect the interests of ___________.

Back 9

Shareholders

Front 10

Employees view compensation as all but which of the following?

Back 10

An investment

Front 11

Costco has higher labor costs than Walmart and Sam's Club. The result is Costco has better performance in all but which of the following?

Back 11

Profit

Front 12

The degree to which pay influences individual and aggregate motivation among the employees at any point in time is referred to as:

Back 12

incentive effect.

Front 13

In China, compensation, dai yu, has come to mean

Back 13

returns and entitlement.

Front 14

In Japanese companies, the concept of teate is consistent with which of the following?

Back 14

Family, housing and commuting allowances

Front 15

Which of the following is an example of a relational return?

Back 15

Recognition and status

Front 16

Which of the following are given as increments to the base pay in recognition of past work behavior?

Back 16

Merit pay

Front 17

Which form of pay is likely to be least expensive for employers?

Back 17

Incentive

Front 18

Recent surveys show the average merit raise for an outstanding performer is ______ and average performers receive and poor performers receive 0.4%.

Back 18

4.4, 2.8

Front 19

Employees who want to be sure their good performance will be rewarded will prefer

Back 19

individual incentives.

Front 20

Variable pay may also be called

Back 20

incentives.

Front 21

Which of the following is the largest component in an executive pay package?

Back 21

Stock options

Front 22

Employers' annual cost per employee to provide family health care coverage is approximately ______________.

Back 22

$15000

Front 23

A company that says its relatively low starting pay will be offset by larger future pay increases is using the concept of ____.

Back 23

present-value

Front 24

All of the following have direct financial costs for an employer except:

Back 24

relational returns

Front 25

Which of the following is not an objective in the pay model?

Back 25

Productivity

Front 26

Costs are to management as _____ is to alignment.

Back 26

work analysis

Front 27

Market definitions are to competitiveness as performance based is to ____.

Back 27

contribution

Front 28

Which of the following is not a policy in the pay model?

Back 28

Fairness

Front 29

Which of the following is not an objective of the pay model?

Back 29

Competitiveness

Front 30

Cost is to change in the pay model as ______________ are to policy lines.

Back 30

market definitions

Front 31

Seniority based, incentive and merit guidelines are components of the ____________ policy.

Back 31

competitiveness

Front 32

_____ refers to comparisons among jobs or skills inside a single organization.

Back 32

Internal alignment

Front 33

Which of the following policy choices has the greatest effect on employees' decisions to stay with the organization and to seek additional training and responsibilities?

Back 33

Internal alignment

Front 34

Managers seek internal alignment within their organization by:

Back 34

paying on the basis of similarities among jobs.

Front 35

Compensation policy choices affecting pay level are most closely associated with ____.

Back 35

external competitiveness

Front 36

Sam's Club matches the pay of other similar businesses, Whole Foods uses base pay and team incentives and Medtronic emphasizes work and life balance. These illustrate _____ pay policy choices.

Back 36

external competitiveness

Front 37

Choices among pay for performance, flat rate pay and profit sharing are examples of _____ policy decisions.

Back 37

employee contributions

Front 38

According to the text, which of the following decisions should be made jointly?

Back 38

External competitiveness and Employee contribution

Front 39

Which of the following policy decisions directly affects employees' attitudes and work behaviors?

Back 39

Employee contributions

Front 40

Which of the following decisions answers the "So What" question?

Back 40

Management

Front 41

If an organization allows workers to get rewards such as stock options due to illegal and unethical means, this reflects a failure of which policy choice?

Back 41

Management

Front 42

You are an HR manager and your boss has told you to find the best way to raise job performance. After some research you find that _____ produce(s) the largest and most reliable performance increases.

Back 42

monetary incentives

Front 43

Which of the following is not a guideline for determining if research has value?

Back 43

Was the research conducted by Ph D researchers

Front 44

A measure of how changes in one variable are related to changes in another variable is:

Back 44

correlation coefficient

Front 45

The best way to establish _____ is to account for competing explanations, either statistically or through control groups.

Back 45

causation