Page 672 - Business Principles and Management

C HAPTER 24 A SSESSMENT

DETERMINE THE BEST ANSWER

13. Which of the following is not a factor companies should use to
determine the amount of pay an employee receives?
a. the skill required for the job
b. the age and gender of the employee
c. the work conditions
d. economic conditions
14. Which of the following is not a benefit that companies are required
to offer based on federal laws?
a. a minimum wage
b. Social Security
c. Medicare
d. paid family and medical leave
15. At the end of a performance review conference, the manager and
employee should agree on
a. an increase in salary
b. each of the ratings of employee performance
c. a specific development plan for the next work period
d. all of the above
16. Which of the following statements is true about employee training?
a. Businesses spend more money on formal training than informal
training.
b. An example of formal training is a coworker showing a new
employee how to perform a specific procedure.
c. On average, companies spend several hundred dollars on every
employee for training each year.
d. Employees should always identify their own training needs.

APPLY WHAT YOU KNOW

17. Based on the Reality Check scenario at the beginning of the chapter,
do you believe the proposed compensation system will be fairer to
employees than the previous system? Do you believe it is a better
system for the company? Why?
18. What are the advantages and disadvantages of time and perfor-
mance pay plans? How do combination plans emphasize the advan-
tages and reduce the disadvantages of each plan?
19. Offer some examples of jobs for which salaries have recently been
affected by supply and demand. How should a company respond
when it finds that employees are leaving to obtain higher wages and
salaries at other companies?
20. What do you believe would be the most important employee bene-
fits to a young, beginning employee? To an experienced, married
employee with children? To an older employee nearing retirement?
Are there any benefits you believe all three types of employees
would value?

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