Employee Compensation Issues Chapter Exam

Exam Instructions:

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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Question 1 1. Which of the following is an example of non-financial compensation?

Question 2 2. John is working for an IT company based upon a contract and the company doesn't withhold any payroll taxes when it pays him. What does this mean for John and who is responsible for paying his taxes?

Question 3 3. Stan is paid $10 for each hour he works. Why is this an example of a wage?

Question 4 4. At the end of the year, Sue receives an additional payment representing a fraction of the net earnings of her company for the year. Why is this an example of profit sharing?

Question 5 5. Tanya is negotiating with her employer about a new contract. They have agreed that she will be paid by commission. Identify which of the following BEST reflects such a deal:

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Question 6 6. Benefits such as health insurance are _____.

Question 7 7. John and Mary work as computer programmers at the same company. John has an additional programming certification and three more years at the company so he is paid more. This is an example of which of the following?

Question 8 8. Which of the following is an example of internal equity in the context of compensation?

Question 9 9. Direct compensation is in the form of:

Question 10 10. Which of the following is FALSE about gain sharing?

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Question 11 11. Alan gets a raise that keeps his salary in line with the rate of inflation. What type of incentive pay is he receiving?

Question 12 12. Tabatha is an accountant. She's paid a base salary in addition to the possibility of more compensation if she exceeds the firm's minimum billable hours she's expected to generate. What is this type of compensation system called?

Question 13 13. Why is it important to conduct a salary survey?

Question 14 14. Which of the following laws regulate defined benefit and defined contribution plans?

Question 15 15. Mary receives a bonus at the end of the year based on a percentage of money she and her fellow employees saved the company by improving efficiency and reducing waste. Why is this an example of gain sharing?

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Question 16 16. Which of the following would NOT be part of an executive's lucrative benefits?

Question 17 17. David sells shoes in a retail company. His boss agreed to pay him a commission for each pair of shoes he sells. Which of the following statements is an example of what his boss promised?

Question 18 18. John's retirement benefit is based upon a formula consisting of his years of service and the average of his salary during his final years of work. The company is obligated to make these payments. What type of retirement benefit does he have?

Question 19 19. Cathy works as a stylist cutting hair. She gets paid for each haircut. Why is this example of piecework?

Question 20 20. Bob and Rob work for the same company. They have the same responsibilities and the qualifications. They also perform equally well, but Rob is paid more than Bob. This is an example of which of the following?

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Question 21 21. Stock options are considered _____

Question 22 22. Which of the following statements best describes the current trend of executive compensation in the United States?

Question 23 23. What do you call a non-cash benefit in a compensation package?

Question 24 24. What type of compensation is employer-sponsored health care?

Question 25 25. Which of the following will not be part of an executive's compensation package?

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Question 26 26. Non-exempt employees who receive wages are paid _____.

Question 27 27. What is the difference between bonuses and stock options?

Question 28 28. _____ is a voluntary benefit offered by employers.

Question 29 29. Which of the following is NOT an example of indirect financial compensation?

Question 30 30. Bob is a machinist who discovers that machinists at the neighboring factory are paid a higher wage than he is for doing the same job. This is an example of what?

Employee Compensation Issues Chapter Exam Instructions

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

Business 106: Human Resource Management  /  Business Courses
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