Question 1

How do employees judge the fairness of a pay structure?

Accepted Answer

Employees evaluate their pay relative to...

Question 2

Das Work and Edge Tech are electronics manufacturing companies competing to serve the same customers.The labor-related expense per product for Das Work is $30 higher than that for Edge Tech.However,Das Work makes more profits than Edge Tech.In this case,which of the following actions has contributed to the profits made by Das Work?

Accepted Answer

A)   It produces high quality goods and charges more for these products than competitors.
B)   It does not provide overtime pay to employees who work more than 40 hours in one week.
C)   It has recently introduced the comparable-worth policy for employees.
D)   It provides free home delivery of purchased goods.
E)   It has a company website where customers can purchase goods online.F) C) and D)
G) D) and E)

Question 3

Themost common approach to pay differentials is to move an employee lower in the pay structure to compensate for higher living costs.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following statements is true about key jobs?

Accepted Answer

A)   Organizations usually have no survey data available for key jobs.
B)   Key jobs are jobs that have highly unstable content.
C)   Key jobs are jobs that are unique among organizations and are rare to obtain.
D)   Organizations make the process of creating a pay structure more impractical by defining key jobs.
E)   A job with a higher evaluation score than a particular key job would receive higher pay than that key job.F) A) and B)
G) A) and C)

Question 5

Which of the following statements is true of compensable factors?

Accepted Answer

A)   They are generally statistically derived.
B)   They are the characteristics of a job that a firm values and chooses to pay for.
C)   They refer to the factors that are important for setting the two-tier wage system.
D)   They describe all aspects of the jobs being evaluated.
E)   They are used to ensure equity among employees.F) B) and D)
G) A) and E)

Question 6

Scorla Automobiles is a manufacturing company based in Nevada.The employees of Scorla are paid the lowest amount under federal or state law,which is stated as an amount of pay per hour.Which of the following laws is the organization abiding by in this scenario?

Accepted Answer

A)   laws governing equal employment opportunity
B)   Fair Labor Standards Act (FLS
A)  of minimum wage
C)   Fair Labor Standards Act (FLS
A)  of overtime
D)   laws governing prevailing wages
E)   product market lawsF) B) and D)
G) B) and C)

Question 7

Which of the following statements is true about the Consumer Price Index (CPI) ?

Accepted Answer

A)   The CPI helps organizations in the product markets decide an upper limit on the pay they will offer.
B)   Following and studying changes in the CPI helps employers prepare for changes in the demands of the labor market.
C)   The CPI helps organizations lure top-quality employees.
D)   The CPI helps control labor markets' demand for pay increases.
E)   The CPI helps organizations to compete with companies in other industries that hire similar employees.F) A) and D)
G) C) and D)

Question 8

According to _____,people measure outcomes such as pay in terms of their inputs.

Accepted Answer

A)   expectancy theory
B)   equity theory
C)   retributive justice theory
D)   progressive justice theory
E)   economic theoryF) C) and D)
G) A) and D)

Question 9

Cliff Stiff Inc. ,a cement company,receives more than $2,000 in federal money.The company hires employees belonging to the age group of 25 to 40.Soon after,the Cliff Stiff is charged for violation of law under the Davis-Bacon Act of 1931 and the Walsh-Healy Public Contracts Act of 1936.Which of the following would most likely explain the reason for the company being sued?

Accepted Answer

A)   The employees of the company are not being paid at rates at least equal to the prevailing wages in the area.
B)   Cement industry employees are being paid only 15% above the minimum wage.
C)   The company hired employees belonging to the age group of 25 to 30,and they are being employed in hazardous environments.
D)   Individuals eligible for overtime are being paid at one and a half times the employee's regular pay rate.
E)   Employees below the age of 25 are not being hired by the company.F) B) and D)
G) A) and C)

Question 10

The equity of executive pay affects a select few of an organization's employees.

Accepted Answer

A) True 
 B)False

Question 11

Which of the following U.S.organizations conducts an ongoing National Compensation Survey measuring wages,salaries,and benefits paid to the nation's employees?

Accepted Answer

A)   Bureau of Labor Statistics
B)   Society for Human Resource Management
C)   American Management Association
D)   AFL-CIO
E)   Bureau of Economic AnalysisF) C) and D)
G) B) and C)

Question 12

Which of the following will most likely be a result of using an unplanned approach,in which each employee's pay is independently negotiated?

Accepted Answer

A)   dissatisfied employees
B)   equal pay distribution
C)   rates that are stable
D)   easy employment
E)   cost controlF) All of the above
G) B) and D)

Question 13

The job characteristics that an organization deems valuable and decides to pay for are called compensable factors.

Accepted Answer

A) True 
 B)False

Question 14

Sapheda Inc. ,a heavy machinery company,has employees belonging to the age group of 17 to 30.Noah,a 17-year-old,is prohibited from working with heavy machinery tools.Instead,he works in the mail room.Under the laws governing Fair Labor Standards Act (FLSA) ,which of the following will justify the organization's decision to forbid Noah from doing heavy machinery work?

Accepted Answer

A)   Noah cannot be employed in hazardous occupations because he is 17 years old.
B)   Noah is expected to work in a safe environment because he is male.
C)   Noah is not a U.S.citizen,therefore he is prohibited from working in a hazardous environment.
D)   Noah has not yet completed college,therefore he should only be given administrative duties.
E)   Noah comes from an economically weaker background,therefore he is expected to perform clerical duties.F) A) and D)
G) A) and C)

Question 15

Pay policies are one of the most important human resource tools for

Accepted Answer

A)   reducing competition in the product market.
B)   automating routine activities.
C)   persuading customers that high quality is worth a premium price.
D)   making decisions about product pricing.
E)   encouraging desired employee behaviors.F) A) and B)
G) None of the above

Exam 12: Establishing a Pay Structure

Correct Answer
verified

Which of the following statements is true of compensable factors?

Correct Answer
verified

Themost common approach to pay differentials is to move an employee lower in the pay structure to compensate for higher living costs.

Correct Answer
verified

Which of the following U.S.organizations conducts an ongoing National Compensation Survey measuring wages,salaries,and benefits paid to the nation's employees?

Correct Answer
verified

Which of the following statements is true about key jobs?

Correct Answer
verified

Correct Answer
verified

The job characteristics that an organization deems valuable and decides to pay for are called compensable factors.

Correct Answer
verified

Which of the following will most likely be a result of using an unplanned approach,in which each employee's pay is independently negotiated?

Correct Answer
verified

According to _____,people measure outcomes such as pay in terms of their inputs.

Correct Answer
verified

Pay policies are one of the most important human resource tools for

Correct Answer
verified

Scorla Automobiles is a manufacturing company based in Nevada.The employees of Scorla are paid the lowest amount under federal or state law,which is stated as an amount of pay per hour.Which of the following laws is the organization abiding by in this scenario?

Correct Answer
verified

How do employees judge the fairness of a pay structure?

Correct Answer
verified
Employees evaluate their pay relative to...
View Answer

The equity of executive pay affects a select few of an organization's employees.

Correct Answer
verified

Correct Answer
verified

Which of the following statements is true about the Consumer Price Index (CPI) ?

Correct Answer
verified

Exam 12: Establishing a Pay Structure

Correct AnswerverifiedShow Answer

Which of the following statements is true of compensable factors?

Correct AnswerverifiedShow Answer

Themost common approach to pay differentials is to move an employee lower in the pay structure to compensate for higher living costs.

Correct AnswerverifiedShow Answer

Which of the following U.S.organizations conducts an ongoing National Compensation Survey measuring wages,salaries,and benefits paid to the nation's employees?

Correct AnswerverifiedShow Answer

Which of the following statements is true about key jobs?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

The job characteristics that an organization deems valuable and decides to pay for are called compensable factors.

Correct AnswerverifiedShow Answer

Which of the following will most likely be a result of using an unplanned approach,in which each employee's pay is independently negotiated?

Correct AnswerverifiedShow Answer

According to _____,people measure outcomes such as pay in terms of their inputs.

Correct AnswerverifiedShow Answer

Pay policies are one of the most important human resource tools for

Correct AnswerverifiedShow Answer

Scorla Automobiles is a manufacturing company based in Nevada.The employees of Scorla are paid the lowest amount under federal or state law,which is stated as an amount of pay per hour.Which of the following laws is the organization abiding by in this scenario?

Correct AnswerverifiedShow Answer

How do employees judge the fairness of a pay structure?

Correct AnswerverifiedEmployees evaluate their pay relative to...View AnswerShow Answer

The equity of executive pay affects a select few of an organization's employees.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Which of the following statements is true about the Consumer Price Index (CPI) ?

Correct AnswerverifiedShow Answer

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Employees evaluate their pay relative to...
View Answer

Correct Answer
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Correct Answer
verified

Correct Answer
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