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The courts and Equal Employment Opportunity guidelines have mandated that performance measurements be based on


A) age and sex.
B) race and national origin.
C) industry standards.
D) job-related criteria.
E) competitive benchmarks.

F) A) and E)
G) None of the above

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Goals are used for one purpose: as a framework for managing motivation.

A) True
B) False

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An organizational policy that mandates pay is illegal.

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An organization that uses a flexible reward system may allow employees to choose the combination of benefits they prefer, but not how they receive their pay.

A) True
B) False

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An American citizen who is an employee of a U.S.company, but who works in a different country is called an .

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The choice of which behaviors to reward is a function of the


A) compensation system.
B) performance measurement system.
C) performance management system.
D) managerial system.
E) total quality management system.

F) B) and C)
G) A) and D)

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The behaviors in organizations that are rewarded are the ones that tend to recur.

A) True
B) False

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The IRS has begun to tax some perquisites given to employees.

A) True
B) False

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An employee's increased buying power after receiving a promotion reflects the value of that reward.


A) symbolic
B) tangible
C) surface
D) compensation
E) intangible

F) B) and D)
G) B) and C)

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Why are flexible reward systems becoming an increasingly popular form of compensation systems?


A) The benefits of the flexible approach outweigh the costs, and employees may develop strong loyalty and attachment to an employer.
B) The flexible reward system allows the organization to trade off salary increases for benefit increases as ways of rewarding the employee.
C) Flexible reward systems allow the organization to standardize the benefits package for all employees.
D) Organizations get fewer benefits for their dollar than they do with standard approaches, but their employees are more satisfied.
E) Flexible systems require less administrative time to develop and maintain than do conventional approaches.

F) B) and C)
G) C) and D)

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Organizations typically conduct performance appraisals


A) when the employee asks for one.
B) when the manager asks for one.
C) quarterly.
D) once a year.
E) more frequently for older employees than for younger ones.

F) B) and C)
G) C) and E)

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contributions are a benefit required of the employer by the Federal Insurance Contributions Act (FICA).

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Comparing people's - performances with their goals can be an effective way to monitor the organization's long- run goals.

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According to the goal-setting theory, actual performance is determined by the interaction of


A) organizational support, goal-directed effort, and individual abilities.
B) availability of resources, employee attitudes, and goal clarity.
C) goal-directed effort, employee motivation, and goal specificity.
D) goal difficulty, employee attitudes, and organizational support.
E) goal importance, goal attachment, and goal specificity.

F) A) and B)
G) A) and C)

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Appraisals with a orientation focus on the future and use information from evaluations to improve performance.

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Employers who allow their workers to choose "cafeteria-style" from a variety of benefits packages are following a system.

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Cafeteria-style benefit plans are an example of participative pay plans.

A) True
B) False

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Employees who feel their salaries convey a message of how much they are worth to the organization are interpreting the value of that reward.

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The courts and Equal Employment Opportunity guidelines have mandated that performance measurements be based on _-_ criteria.

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convey to people not only how much they are valued by the organization but also their importance relative to others.

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