Mgt Ch. 24

The money and other benefits people receive for work is called

• bonus

• compensation

• salary

• wage

A salesperson on a 6% commission plan sells $80,000 worth of services in a single week. How much would the salesperson be paid for that week?

• $1,280.00

• 2,285.70

• 3050.50

• 4,800.00

Paying an executive $140,000 a year is an example of what kind of compensation plan?

• piece-rate plan

• performance plan

• time plan

• commission plan

Which of the following is a disadvantage of a time-based payment plan?

• The plan makes it difficult for new employees to earn a reasonable amount.

• It does not financially reward employees for outstanding work.

• It encourages salespeople to sell customers products they don’t need.

• It encourages experienced workers to find shortcuts.

The plan for paying employees that has the advantages of various pay systems is the

• commission plan

• profit-sharing plan

• piece-rate

• combination plan

A variation of the combination plan that links employee rewards to the achievement of important department or company goals is the use of

• health insurance

• employee benefits

• bonuses

• promotions

Which of the following is not a legitimate factor on which to base the amount of employee pay?

• employee's level of experience

• skills an employee brings to the job

• employee's gender

• prevailing wage rates in the community

When contributions to a retirement plan are tax-deferred

• the employee is not required to pay taxes on them at any time

• benefits are not taxed until the employee withdraws them at retirement

• the employer pays all taxes

• taxes gradually rise until benefits are withdrawn at retirement

A retirement plan for employees in public education and some nonprofit organizations is a

• 401k plan

• 403b plan

• 503c plan

• 529 plan

Staggering the work week means some employees

• work fewer than 40 hours

• start their week on a day other than Monday

• work the graveyard shift only

• always work on weekends