Test Bank — Compensation, 14th Edition —
ISBN 9781264080908 — Latest Update
2026/2027 — (All Chapters Covered 1-18)
The employment relationship is: - answers-An agreed-upon basis for organizations and people
meeting each other's needs
Organizations get work done through: - answers-People
Total rewards includes: - answers-Base salary and benefits
Meaningful work would be considered a discretionary employee benefit. - answers-False
Understanding the total rewards system will not allow you to create a meaningful total rewards
plan. - answers-False
Which of the following job families would not be affected by total rewards? - answers-All job
families are affected by total rewards
Pay is not a broad category that refers to the monetary compensation that is provided to an
employee in exchange for their work. - answers-False
Cash compensation is monetary pay from ____________ to __________________. - answers-
Employers; employees
1
,Fringe benefits have become quite ____________ to compensation plans. - answers-Central
When you think about a company's health benefits or retirement plan, you are thinking about
employee benefits. - answers-True
________________________ refers to the direct monetary pay given to an employee in
exchange for their contributions to the organization. - answers-Cash compensation
Which of the following would not be included as an intangible reward? - answers-Salary
Cash compensation can have an influence on the employee's perception of how much they are
valued at the firm. - answers-True
To create a strategic total rewards plan, you need to understand all of the following except: -
answers-Benefits
Base pay includes: - answers-Salary or hourly wages
Team performance: - answers-Comprises the collective actions of groups of employees
Total Reward Systems do not need to be reviewed to ensure that they are not penalizing such
OCBs and instead provide a degree of encouragement for those helpful behaviors. - answers-
False
Organizational performance includes all but: - answers-Employee satisfaction
Employee perception of the organization has potential to lead to turnover and performance. -
2
, answers-True
Managing total rewards is an art and a science. - answers-True
Cost leadership focuses more on: - answers-Price
Which of the following industries best demonstrates the cost leadership strategy? - answers-
Fast food
Within the cost leadership strategy, a business will have a ____________ cost structure. -
answers-Lower
Within the cost leadership strategy, the customers will be charged ________________. -
answers-Less
Total Rewards are one of those decisions that businesses make that influences their cost
structure and their ability to provide those low costs to customers. - answers-True
In the differentiation strategy, the costs of the organization will be passed on to the: - answers-
Customer
Generally, an organization that follows the differentiation strategy will be able to pay their
employees: - answers-More
In a niche-focused strategy, an organization will have to compete with the following strategies: -
answers-None of the above
3
ISBN 9781264080908 — Latest Update
2026/2027 — (All Chapters Covered 1-18)
The employment relationship is: - answers-An agreed-upon basis for organizations and people
meeting each other's needs
Organizations get work done through: - answers-People
Total rewards includes: - answers-Base salary and benefits
Meaningful work would be considered a discretionary employee benefit. - answers-False
Understanding the total rewards system will not allow you to create a meaningful total rewards
plan. - answers-False
Which of the following job families would not be affected by total rewards? - answers-All job
families are affected by total rewards
Pay is not a broad category that refers to the monetary compensation that is provided to an
employee in exchange for their work. - answers-False
Cash compensation is monetary pay from ____________ to __________________. - answers-
Employers; employees
1
,Fringe benefits have become quite ____________ to compensation plans. - answers-Central
When you think about a company's health benefits or retirement plan, you are thinking about
employee benefits. - answers-True
________________________ refers to the direct monetary pay given to an employee in
exchange for their contributions to the organization. - answers-Cash compensation
Which of the following would not be included as an intangible reward? - answers-Salary
Cash compensation can have an influence on the employee's perception of how much they are
valued at the firm. - answers-True
To create a strategic total rewards plan, you need to understand all of the following except: -
answers-Benefits
Base pay includes: - answers-Salary or hourly wages
Team performance: - answers-Comprises the collective actions of groups of employees
Total Reward Systems do not need to be reviewed to ensure that they are not penalizing such
OCBs and instead provide a degree of encouragement for those helpful behaviors. - answers-
False
Organizational performance includes all but: - answers-Employee satisfaction
Employee perception of the organization has potential to lead to turnover and performance. -
2
, answers-True
Managing total rewards is an art and a science. - answers-True
Cost leadership focuses more on: - answers-Price
Which of the following industries best demonstrates the cost leadership strategy? - answers-
Fast food
Within the cost leadership strategy, a business will have a ____________ cost structure. -
answers-Lower
Within the cost leadership strategy, the customers will be charged ________________. -
answers-Less
Total Rewards are one of those decisions that businesses make that influences their cost
structure and their ability to provide those low costs to customers. - answers-True
In the differentiation strategy, the costs of the organization will be passed on to the: - answers-
Customer
Generally, an organization that follows the differentiation strategy will be able to pay their
employees: - answers-More
In a niche-focused strategy, an organization will have to compete with the following strategies: -
answers-None of the above
3
