BUS409 – Week 5 Quiz 4
Question 2
What is the main objective of Scanlon plans?
Selected Answer: to increase employee involvement
Correct Answer: to increase employee involvement
Question
Which type of individual incentive plan requires the achievement of multiple, complex
objectives without compromising the quality and quantity of output that is generated
by employees?
Selected management incentive plans
Answer:
Correct Answer: management incentive plans
Question
Which of the following is true concerning incentive pay?
Selected Awards are granted in one-time payouts.
Answer:
Correct Answer: Awards are granted in one-time payouts.
Question
Which gain sharing plan bases incentives on the ratio between labor costs and sales
value of production (SVOP)?
Selected Answer: Scanlon Plan
Correct Answer: Scanlon Plan
Question
Which of the following is true of incentive pay?
Selected The criteria for judging an award tends to be objective, such as
Answer: quantity produced.
Correct The criteria for judging an award tends to be objective, such as
Answer: quantity produced.
Question
XYZ Company pays a portion of company profits to its employees. The management
offers this incentive plan as one kind of retirement program. What kind of
companywide incentive plan does XYZ Co. offer?
Selected Answer: deferred profit sharing plan
Correct Answer: deferred profit sharing plan
Question
Which of the following performance measures corresponds to individual/ group/
companywide incentive plans respectively?
, BUS409 – Week 5 Quiz 4
Selected quality of work output/customer satisfaction/market share
Answer:
Correct Answer: quality of work output/customer satisfaction/market share
Question
Profit sharing plans and employee stock option plans are incentives on what level?
Selected Answer: companywide
Correct Answer: companywide
Question
This incentive plan has a buy-back provision.
Selected Answer: Improshare
Correct Answer: Improshare
Question
On which teams is membership relatively permanent, with the members working full-
time on the team?
Selected Answer: work
(process)
Correct Answer: work
(process)
Question
Which of the following is true regarding group incentive plans as opposed to individual
incentive plans?
Selected it is easier to develop performance measures for group incentive plans
Answer: than individual incentive plans
Correct it is easier to develop performance measures for group incentive plans
Answer: than individual incentive plans
Question
Which gain sharing plan focuses on lowering the percentage of labor costs using a
value-added formula?
Selected Rucker Plan
Answer:
Correct Answer: Rucker Plan
Question
This type of individual incentive plan rewards employees who recruit new customers
or new employees.
Question 2
What is the main objective of Scanlon plans?
Selected Answer: to increase employee involvement
Correct Answer: to increase employee involvement
Question
Which type of individual incentive plan requires the achievement of multiple, complex
objectives without compromising the quality and quantity of output that is generated
by employees?
Selected management incentive plans
Answer:
Correct Answer: management incentive plans
Question
Which of the following is true concerning incentive pay?
Selected Awards are granted in one-time payouts.
Answer:
Correct Answer: Awards are granted in one-time payouts.
Question
Which gain sharing plan bases incentives on the ratio between labor costs and sales
value of production (SVOP)?
Selected Answer: Scanlon Plan
Correct Answer: Scanlon Plan
Question
Which of the following is true of incentive pay?
Selected The criteria for judging an award tends to be objective, such as
Answer: quantity produced.
Correct The criteria for judging an award tends to be objective, such as
Answer: quantity produced.
Question
XYZ Company pays a portion of company profits to its employees. The management
offers this incentive plan as one kind of retirement program. What kind of
companywide incentive plan does XYZ Co. offer?
Selected Answer: deferred profit sharing plan
Correct Answer: deferred profit sharing plan
Question
Which of the following performance measures corresponds to individual/ group/
companywide incentive plans respectively?
, BUS409 – Week 5 Quiz 4
Selected quality of work output/customer satisfaction/market share
Answer:
Correct Answer: quality of work output/customer satisfaction/market share
Question
Profit sharing plans and employee stock option plans are incentives on what level?
Selected Answer: companywide
Correct Answer: companywide
Question
This incentive plan has a buy-back provision.
Selected Answer: Improshare
Correct Answer: Improshare
Question
On which teams is membership relatively permanent, with the members working full-
time on the team?
Selected Answer: work
(process)
Correct Answer: work
(process)
Question
Which of the following is true regarding group incentive plans as opposed to individual
incentive plans?
Selected it is easier to develop performance measures for group incentive plans
Answer: than individual incentive plans
Correct it is easier to develop performance measures for group incentive plans
Answer: than individual incentive plans
Question
Which gain sharing plan focuses on lowering the percentage of labor costs using a
value-added formula?
Selected Rucker Plan
Answer:
Correct Answer: Rucker Plan
Question
This type of individual incentive plan rewards employees who recruit new customers
or new employees.
