MGMT 3860 - CH. 11 LEARNSMART QUESTIONS (SPRING 2016)
EXAM QUESTIONS AND ANSWERS WITH COMPLETE SOLUTIONS
_____ methods provide a work-related and business-related logic to support
decisions about pay.
a. Job-evaluation
b. Compensable
c. Hierarchies of job worth
d. Pay structure
a. Job evaluation
Companies do which of the following when compensation is viewed from a
strategic perspective? (Choose all that apply.)
a. They view attrition as the ultimate criterion for success.
b. They review their pay systems against the budgets of dissimilar companies.
c. They make the pay system an integral part of strategy formation.
d. They recognize that compensation is a pivotal control.
c. They make the pay system an integral part of strategy formation.
d. They recognize that compensation is a pivotal control.
_____ occur when those who do not want to have their pay tied to their
performance do not accept jobs at companies that offer them, or they leave when
pay for performance is implemented.
a. Annuity barriers
b. Executive effects
, c. Annuity problems
d. Sorting effects
d. Sorting effects
Which of the following is a form of pay compression? (Choose all that apply.)
a. Paying salaried nonunion managers more than unionized employees.
b. Excessive overtime payments to some employees.
c. New employees being paid more than workers who currently hold positions.
d. Not allowing overtime for any employees.
b. Excessive overtime payments to some employees.
c. New employees being paid more than workers who currently hold positions.
T/F: Many incentive systems are improperly designed, and, therefore, do not
work.
True
Sarbanes-Oxley requires that _______.
a. Companies can seek repayment for incentives paid that were later found to be
inaccurate.
b. Executives cannot retain bonuses or profits from selling company stock if they
mislead the public.
c. Minimum wage change each year.
d. The SEC meet annually to discuss bonuses.
b. Executives cannot retain bonuses or profits from selling company stock if they
mislead the public.
EXAM QUESTIONS AND ANSWERS WITH COMPLETE SOLUTIONS
_____ methods provide a work-related and business-related logic to support
decisions about pay.
a. Job-evaluation
b. Compensable
c. Hierarchies of job worth
d. Pay structure
a. Job evaluation
Companies do which of the following when compensation is viewed from a
strategic perspective? (Choose all that apply.)
a. They view attrition as the ultimate criterion for success.
b. They review their pay systems against the budgets of dissimilar companies.
c. They make the pay system an integral part of strategy formation.
d. They recognize that compensation is a pivotal control.
c. They make the pay system an integral part of strategy formation.
d. They recognize that compensation is a pivotal control.
_____ occur when those who do not want to have their pay tied to their
performance do not accept jobs at companies that offer them, or they leave when
pay for performance is implemented.
a. Annuity barriers
b. Executive effects
, c. Annuity problems
d. Sorting effects
d. Sorting effects
Which of the following is a form of pay compression? (Choose all that apply.)
a. Paying salaried nonunion managers more than unionized employees.
b. Excessive overtime payments to some employees.
c. New employees being paid more than workers who currently hold positions.
d. Not allowing overtime for any employees.
b. Excessive overtime payments to some employees.
c. New employees being paid more than workers who currently hold positions.
T/F: Many incentive systems are improperly designed, and, therefore, do not
work.
True
Sarbanes-Oxley requires that _______.
a. Companies can seek repayment for incentives paid that were later found to be
inaccurate.
b. Executives cannot retain bonuses or profits from selling company stock if they
mislead the public.
c. Minimum wage change each year.
d. The SEC meet annually to discuss bonuses.
b. Executives cannot retain bonuses or profits from selling company stock if they
mislead the public.
