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Compensation

120 Questions  I  By Sbmccla
Compensation
 

  
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1.  Research shows that employees tend to ________ the actual pay of those in jobs above them and _______ the pay of those below them.
A.
B.
C.
D.
2.  Which of the following wage components has the clearest line of sight for employees?
A.
B.
C.
D.
3.  You have just read a research article about the effects of a type of lottery to reduce absenteeism. Which of the following factors are least relevant for judging the value of the research?
A.
B.
C.
D.
4.  If San Diego has a CPI of 165 and Los Angeles has a CPI of 145, this means
A.
B.
C.
D.
5.  In practice, pay differentials and pay levels mean basically the same thing.
A.
B.
6.  The primary criterion for scaling compensable factors is use the number of degrees necessary to distinguish among jobs.
A.
B.
7.  The method of job analysis claimed to be able to analyze any job is __________
A.
B.
C.
D.
8.  An organization that has a match (pay) policy will pay its employees
A.
B.
C.
D.
9.  All but one of the following is true of protean careers. Name the exception.
A.
B.
C.
D.
10.  All of the following except _______ are factors affecting the size of an average wage level increase.
A.
B.
C.
D.
11.  One of the best ways to ensure that job evaluation plans are as free from sex bias as possible is _______________
A.
B.
C.
D.
12.  An inappropriate way to assess the acceptability of a job evaluation plan and its resulting job structure is __________________.
A.
B.
C.
D.
13.  Most organizations pay about the same for the same job requiring similar education and experience.
A.
B.
14.  A team leader with a free rider problem could maximize performance by _____________
A.
B.
C.
D.
15.  The expectations that employers and employees have about each other is called a
A.
B.
C.
D.
16.  ___________ are to certification process as job evaluation is to factor degrees and weights.
A.
B.
C.
D.
17.  The answer to the question of how many firms to include in a pay survey is __________
A.
B.
C.
D.
18.  The process of multiplying survey data by some factor judged to reflect the difference between a survey benchmark job and a company job is called _______________
A.
B.
C.
D.
19.  _____________ is the process of systematically determining the relative worth of jobs for the purpose of creating an organization’s job structure.
A.
B.
C.
D.
20.  _______________ is preferable to most employees.
A.
B.
C.
D.
21.  A compensable factor of effort has a weight 30% and has two sub-factors, physical and mental. Mental has a degree rating of 4. How many points does the mental effort receive?
A.
B.
C.
D.
22.  Which of the following is not a factor in defining equal work in the Equal Pay Act?
A.
B.
C.
D.
23.  All of the following except _________ are provisions of the 1938 Fair Labor Standards Act.
A.
B.
C.
D.
24.  ______________ is the belief that when a specified level of job performance is attained, the employee will receive a specified reward.
A.
B.
C.
D.
25.  The concept of comparable worth has been implemented in a few state and municipal governments.
A.
B.
26.  Reliability of job evaluations may be measured by:
A.
B.
C.
D.
27.  Employers were more likely to offer bonuses, gain-sharing and stock options after the passage of _____________
A.
B.
C.
D.
28.  Which of the following is not a characteristic of a benchmark job.
A.
B.
C.
D.
29.  Broad, generic job descriptions increase the flexibility of a job structure.
A.
B.
30.  Which of the following is not an advantage of team incentives?
A.
B.
C.
D.
31.  Which of the following is least likely to be used as a skill-based certification method?
A.
B.
C.
D.
32.  Organizations in a turbulent and unpredictable environment requiring flexibility in jobs and work processes are likely to be more successful with a ________________ internal pay structure.
A.
B.
C.
D.
33.  Straight piecework is to Taylor differential piece-rate as standard hour plan is to ________________
A.
B.
C.
D.
34.  A market pay line _________
A.
B.
C.
D.
35.  The pay policy choice with the greatest effect on employee perceptions of fairness of pay with other workers in their organization is:
A.
B.
C.
D.
36.  Turnover rates and quality of job candidates are examples of measures of success of career management systems.
A.
B.
37.  A company using a skill-based pay system prices the job of lead assembler at between $10 and $22 per hour. Survey data showed the job assembler averaged $10 per hour and the job of assembly supervisor at $22 per hour. The company was using the _________ method of job matching.
A.
B.
C.
D.
38.  “Does the analysis create an accurate perception of the work?” is a question answered by ______________ .
A.
B.
C.
D.
39.  When job analysis shows managers and employees disagree on parts of a job, what is the best answer?
A.
B.
C.
D.
40.  “Responsible for ensuring that accurate information is provided to customers” is an example of a ________________
A.
B.
C.
D.
41.  All of the following except ___________ is an important factor in defining a market for compensation purposes.
A.
B.
C.
D.
42.  Organizations using performance appraisal systems tied to both pay increases and promotions, _______________ than organizations without such a system.
A.
B.
C.
D.
43.  ________is the process by which employees progress through a series of stages, each characterized by a different set of developmental tasks, activities, and relationships.
A.
B.
C.
D.
44.  The pay policy associated with increased productivity is ___________
A.
B.
C.
D.
45.  _________________ offer(s) a reward pool based upon achieving performance targets and communicates organizational priorities.
A.
B.
C.
D.
46.  All but which of the following is a condition supporting use of individual incentives?
A.
B.
C.
D.
47.  Which of the following occupational groups are not likely to be categorized as exempt.
A.
B.
C.
D.
48.  A(n)_____ circle rate is if an employee were given a pay raise indicated by the merit increase rate, their new pay would be a _____ circle rate.
A.
B.
C.
D.
49.  From discussion of the behavior = f (M, A, E) model, one may conclude that while other HR functions are important, compensation has the greatest effect on influencing employee behavior.
A.
B.
50.  The second step of the career management process is ______
A.
B.
C.
D.
51.  In the regression equation, y =a + bx, job evaluation points are ___
A.
B.
C.
D.
52.  The most common approach to managing labor costs is
A.
B.
C.
D.
53.  Which of the following is not one of the major decisions in job analysis?
A.
B.
C.
D.
54.  Which of the following is not one of the steps in establishing a comparable worth pay plan?
A.
B.
C.
D.
55.  If you were seeking a job, which of the following is most likely to offer the highest pay?
A.
B.
C.
D.
56.  A company changes its strategy to be more “lean” and efficient. What if anything should the company do about the compensable factor “scope of responsibility” that is measured by number of subordinates?
A.
B.
C.
D.
57.  The primary reason compensation is important to managers is because:
A.
B.
C.
D.
58.  In the pay model, costs are to management as __________ is to alignment.
A.
B.
C.
D.
59.  In which of the following pay-mixes are bonuses and options the smallest?
A.
B.
C.
D.
60.  Theories dealing with exchange include ____________
A.
B.
C.
D.
61.  Growing evidence suggests that the major effect of skill-based pay is ______________
A.
B.
C.
D.
62.  The most common bases for determining internal structures are:
A.
B.
C.
D.
63.  ______________ refers to rules and procedures that determine pay for different jobs in an organization and allocates employees among these jobs.
A.
B.
C.
D.
64.  Research on efficiency wage theory shows ______________
A.
B.
C.
D.
65.  Which of the following pay structure procedures would not increase perceptions of pay fairness?
A.
B.
C.
D.
66.  Which of the following is not true?
A.
B.
C.
D.
67.  Which of the following is not an objective of external competitiveness pay decisions?
A.
B.
C.
D.
68.  A key factor in increasing trust in top management is ____________
A.
B.
C.
D.
69.  All of the following are examples of embedded or inherent controls except
A.
B.
C.
D.
70.  In a _______ approach in a compensation communication program, the focus is on explaining practices and how pay is determined.
A.
B.
C.
D.
71.  In gain sharing plan formulas, ______________ is(are) the numerator and ____________ the denominator.
A.
B.
C.
D.
72.  Which of the following is not true of lump-sum bonuses? 
A.
B.
C.
D.
73.  All but which of the following affects reliability of job analysis?
A.
B.
C.
D.
74.  Common bases for modern pay structures include all but which of the following?
A.
B.
C.
D.
75.  In a skill-based pay system, workers with greater seniority and experience receive higher pay.
A.
B.
76.  __________________ addresses how pay design and administration issues are made and the consistency of pay procedures.
A.
B.
C.
D.
77.  The minimum wage that must be paid for work done on covered government projects or purchases is defined by the government as the ___________ wage.
A.
B.
C.
D.
78.  The most important factor determining success of a skill-based pay plan is ______________________
A.
B.
C.
D.
79.  Because relatively few people are paid minimum wage, raising the minimum wage does not affect pay structures.
A.
B.
80.  Questions such as should a job be paid at a flat rate and should pay for performance be emphasized are part of which pay policy choice?
A.
B.
C.
D.
81.  ________________ theory is the most influential in explaining pay-level differences.
A.
B.
C.
D.
82.  Sixty percent of all age groups rated __________as reasons for staying with a company. 
A.
B.
C.
D.
83.  Which of the following is not an appropriate basis for evaluating the worth of jobs to an organization?
A.
B.
C.
D.
84.  Because employers are raising employee pay at various times during the year, survey data must be updated using a process called _______ or __________
A.
B.
C.
D.
85.  5. The pay for the job of accountant in London, Los Angles and Berlin is likely to be different due to
A.
B.
C.
D.
86.  “Essential elements” refers to _______________
A.
B.
C.
D.
87.  The generational age cohorts have very different desires for security and the ability to balance work and personal life.
A.
B.
88.  Benchmark jobs have all of the following characteristics except ___
A.
B.
C.
D.
89.  The percent of companies using some form of variable pay is declining because many employees prefer base wages.
A.
B.
90.  Regarding pay differences for different jobs, ________
A.
B.
C.
D.
91.  Employee A received the highest performance rating, has a comp-ration of 1.2, and received a pay increase of 10 percent. Employee B received the highest performance rating and has a comp-ration of .90. Given the way most merit increase grids work, what size pay increase would you expect Employee B to receive?
A.
B.
C.
D.
92.  According to expectancy theory, effort level depends on which of these factors?     (1)  expectancy      (2)  valence      (3)  instrumentality      (4)  reward      (5)  goals
A.
B.
C.
D.
93.  All of the following are advantages of the ranking method of job evaluation except ___________
A.
B.
C.
D.
94.  Managers seek internal alignment within their organization by:
A.
B.
C.
D.
95.  Which of the following is not a legitimate reason why a como-ration may be less than 1?
A.
B.
C.
D.
96.  The study referred to in the text on how managers make wage adjustment decisions found:
A.
B.
C.
D.
97.  Which form of pay is likely to be least expensive for employers?
A.
B.
C.
D.
98.  Which of the following is not a manager’s role in career management?
A.
B.
C.
D.
99.  The main advantage of skill-based pay plans is _____
A.
B.
C.
D.
100.  Which of the following is not a generic compensable factor used to determine equal work in the Equal Pay Act?
A.
B.
C.
D.
101.  Job analysis is important for both managers and employees because it is
A.
B.
C.
D.
102.  ____________ sets a maximum pay level an employer can pay.
A.
B.
C.
D.
103.  A hospital would most likely have one job evaluation plan rather than multiple plans because a single plan best fits the workflow.
A.
B.
104.  One of the best reasons to involve employees and supervisors in the job analysis process is to ___________________
A.
B.
C.
D.
105.  A career is defined as _______
A.
B.
C.
D.
106.  An inclusive categorization of total returns includes:
A.
B.
C.
D.
107.  Competencies are better at ____________ than _______
A.
B.
C.
D.
108.  Which of the following are not advantages or characteristics of broad bands?
A.
B.
C.
D.
109.  Which of the following has the greatest effect on a planned level rise when an organization has problems with their ability to pay?
A.
B.
C.
D.
110.  The primary sources of the race/ethnic pay gap are differences in __________
A.
B.
C.
D.
111.  The best single compensable factor for creating a job structure, is ________
A.
B.
C.
D.
112.  Disadvantages of individual incentive plans include all but _________
A.
B.
C.
D.
113.  Skill-based plans tend to work best in organizations using ________________ strategy. 

A.
B.
C.
D.
114.  The purpose of collecting data on number of employees in a pay survey is to ____________
A.
B.
C.
D.
115.  Factors such as shift differential, temporary assignment and training programs are examples of __________
A.
B.
C.
D.
116.  Performance appraisals provide information most relevant to _________
A.
B.
C.
D.
117.  If Company A raises its pay rate one dollar per hour to hire additional workers and competitors immediately match the increase, what is the most likely result?
A.
B.
C.
D.
118.  The common feature to all types of incentive plans is ____________
A.
B.
C.
D.
119.  Compensation should reinforce all but which of the following behaviors?
A.
B.
C.
D.
120.  ______________ are most likely to seek lower labor costs?
A.
B.
C.
D.
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