Question

Please state the letter answer for each question and also provide justification for the answer. Please either restate definitions or provide evidence of the answer for justification.

45. _______Which of the following is associated with Taylor’s differential rates?

A) There are two outcomes related to pay: one for performing below standard and the other for meeting or exceeding the standard.

B) They are used to pay a higher ranked worker more than one who is lower ranked.

C) The rate is based on a productivity index called labor contribution to value added.

D) They involve higher levels of employee involvement.

E) They are generally tied to company profits.

46._______ Acme Shoe Company is expanding nation-wide, and they wish to develop an incentive plan for their door-to-door salespeople. Which of the following plans is most appropriate?

A) Piece-rate plan

B) Commission plan

C) Profit sharing plan

D) Straight salary

E) Scanlon plan

47._______ Which of the following is TRUE regarding group incentive plans?

A) Increased interest in PFP has resulted in a declining number of group incentive plans.

B) The use of group plans is particularly effective when cooperation and teamwork are less essential.

C) Group plans are most useful when tasks are so interrelated that it is difficult to identify a measure of individual output.

D) There is increasing evidence that group incentives do NOT increase productivity.

E) Individual plans are generally preferable to group plans when tasks are interrelated and teamwork is essential.

48._______ Research on Employee Stock Ownership Plans (ESOPs) shows:

A) ESOPs work better when combined with extensive employee involvement.

B) They have little effect on profitability.

C) Decrease in employee absenteeism under ESOPs.

D) ESOPs work better when the price of the stock is stable.

E) Restricted company flexibility in a competitive environment.

Answer 1

45) (A) There are two outcomes related to pay: one for performing below standard and the other for meeting or exceeding the standard

Explanation - According to the Taylor's differential rates the employee who gives the standard output within the given time deserves the high pay rate for high production. There are two outcomes of this if the person performs the below average or fail to perform the output and a person who meet the exceeding output in the standard time.

46) (B) Commission plan

Explanation - Commission plan is generally a form of government.It is a master plan or the management tool related to the commission.In the Commission plan, elected people take the decision related to legislative and administrative. Other options are incorrect because they talk about the employee's salary and profit-sharing to help the employees.

47) (A) Increased interest in PFP has resulted in a declining number of group incentive plans.

Explanation - Group incentive plan help the people participate in the team to achieve there goals in time to earn some extra income. Sometimes an increase in Personal financial planning can decrease the incentive plan as people more focus on the tax, retirement plan and investment plan.

48) (B) They have little effect on profitability

Explanation - Employee Stock Ownership Plan does not lead to corporate profitability in the absence of employee participation.Other options are incorrect,because they talk about the Restricted company competitive environment and  employee absenteeism.which is not true,it can't decrease the employees absentee