Question 1

The individual retirement account (IRA)is primarily appropriate for:

Accepted Answer

A)  employees without company pension plans. 
B)  employees of small businesses. 
C)  self-employed workers. 
D)  small business owners. 
A)  employees without company pension plans. 
B)  employees of small businesses. 
C)  self-employed workers. 
D)  small business owners.

Question 2

Which of the following is the most popular employee service?

Accepted Answer

A)  On-site health services 
B)  Education subsidies 
C)  Emergency loans 
D)  Childcare 
A)  On-site health services 
B)  Education subsidies 
C)  Emergency loans 
D)  Childcare

Question 3

What are the three areas that an employer needs to consider when establishing a benefits plan? How can HR use technology to ensure that employees clearly understand an employer's benefits plan?

Accepted Answer

The first element of a benefits strategy

Question 4

The ________ is the complete package of benefits that a company offers its employees.

Accepted Answer

The answer of The ________ is the complete package of...

Question 5

The cost of employee benefits has risen to nearly 50% of an employer's payroll costs.

Accepted Answer

A) True 
 B)False

Question 6

The benefits amount corresponds to which direct compensation decision?

Accepted Answer

A)  Individual-based pay versus job-based pay 
B)  Fixed versus variable pay 
C)  Monetary versus nonmonetary rewards 
D)  Open versus secret pay 
A)  Individual-based pay versus job-based pay 
B)  Fixed versus variable pay 
C)  Monetary versus nonmonetary rewards 
D)  Open versus secret pay

Question 7

What are the primary forms of paid time off available to most employees? How can a firm's HR department contain the costs associated with paid time off?

Accepted Answer

Summary of suggested answer -
•Sick leav

Question 8

Former employees may be denied unemployment insurance benefits if they:

Accepted Answer

A)  worked for a private firm with fewer than 15 employees. 
B)  were government employees. 
C)  were fired by their employer. 
D)  failed a drug test. 
A)  worked for a private firm with fewer than 15 employees. 
B)  were government employees. 
C)  were fired by their employer. 
D)  failed a drug test.

Question 9

________ of large and medium-sized private businesses in the United States offer health insurance to their employees,and ________ of small firms offer health insurance.

Accepted Answer

A)  84% / 50% 
B)  64% / 76% 
C)  85% / 57% 
D)  55% / 40% 
A)  84% / 50% 
B)  64% / 76% 
C)  85% / 57% 
D)  55% / 40%

Question 10

Which of the following is a characteristic of most cash balance plans?

Accepted Answer

A)  Cannot be converted from traditional pension plans 
B)  Ineffective at retaining younger employees 
C)  Higher retirement income than traditional pension plans 
D)  Time-consuming recordkeeping required 
A)  Cannot be converted from traditional pension plans 
B)  Ineffective at retaining younger employees 
C)  Higher retirement income than traditional pension plans 
D)  Time-consuming recordkeeping required

Question 11

A self-insurance pool is best defined as a:

Accepted Answer

A)  policy in which individual employees are exclusively responsible for their insurance. 
B)  group of companies who jointly hire an administrator to organize insurance functions. 
C)  policy offered by insurance companies that allows employees to choose their own benefits. 
D)  group of individual employees who shop for the most cost-effective health insurance. 
A)  policy in which individual employees are exclusively responsible for their insurance. 
B)  group of companies who jointly hire an administrator to organize insurance functions. 
C)  policy offered by insurance companies that allows employees to choose their own benefits. 
D)  group of individual employees who shop for the most cost-effective health insurance.

Question 12

Kevin's new employer informs him that he will be allowed a flexible benefits program for the duration of his employment at Comfortable Furniture.This means that Kevin will most likely be able to:

Accepted Answer

A)  receive paid time off after six months with the firm. 
B)  select the benefits he wants most from a menu of options. 
C)  receive more direct compensation by forfeiting employee benefits. 
D)  reduce his coinsurance payments by selecting a managed care plan. 
A)  receive paid time off after six months with the firm. 
B)  select the benefits he wants most from a menu of options. 
C)  receive more direct compensation by forfeiting employee benefits. 
D)  reduce his coinsurance payments by selecting a managed care plan.

Question 13

Companies use flexible benefits programs in order to:

Accepted Answer

A)  simplify benefits administration. 
B)  give employees options to select the benefits most meaningful to them. 
C)  motivate employees to higher productivity and quality by rewarding performance. 
D)  give management options in selecting benefits to offer employees, which lowers the cost of the benefits program. 
A)  simplify benefits administration. 
B)  give employees options to select the benefits most meaningful to them. 
C)  motivate employees to higher productivity and quality by rewarding performance. 
D)  give management options in selecting benefits to offer employees, which lowers the cost of the benefits program.

Question 14

Which of the following guarantees that accrued retirement benefits will be given to retirement plan participants when they leave the employer?

Accepted Answer

A)  Pension 
B)  Vesting 
C)  Portable benefits 
D)  Flexible spending 
A)  Pension 
B)  Vesting 
C)  Portable benefits 
D)  Flexible spending

Question 15

Which of the following is most likely a true statement?

Accepted Answer

A)  Federal law mandates that firms provide domestic partner coverage. 
B)  Insurance companies require documentation for domestic partner coverage. 
C)  Most homosexual workers enroll their domestic partners for health care benefits. 
D)  Health-care costs for unmarried couples are usually lower than those for married couples. 
A)  Federal law mandates that firms provide domestic partner coverage. 
B)  Insurance companies require documentation for domestic partner coverage. 
C)  Most homosexual workers enroll their domestic partners for health care benefits. 
D)  Health-care costs for unmarried couples are usually lower than those for married couples.

Question 16

Raj has personal investment plans for retirement.He also is involved with his company's retirement plan; his company contributes to his retirement each month.His personal contributions are ________,and his company's contributions are ________.

Accepted Answer

A)  tax-free / tax-deferred 
B)  tax-deferred / tax-deferred 
C)  tax-deferred / tax-free 
D)  tax-free / tax-free 
A)  tax-free / tax-deferred 
B)  tax-deferred / tax-deferred 
C)  tax-deferred / tax-free 
D)  tax-free / tax-free

Question 17

HR can have an important part in lowering unemployment insurance costs for a company by:

Accepted Answer

A)  making it harder to fire employees. 
B)  conducting exit interviews with discharged workers. 
C)  offering employees a flexible benefits plan. 
D)  setting up health insurance accounts for employees. 
A)  making it harder to fire employees. 
B)  conducting exit interviews with discharged workers. 
C)  offering employees a flexible benefits plan. 
D)  setting up health insurance accounts for employees.

Question 18

Jessica recently had outpatient surgery.Her insurance plan requires a deductible of $500.This means that the insurance company will pay 100% of the first $500,but after that will only pay a percentage of the bill.

Accepted Answer

A) True 
 B)False

Question 19

Additional Case 12.1
The HR Director of The Camera Center is leading the executive team through a review of the company's benefits plan. He begins by explaining how the firm funds the benefits plan. After a few questions on that matter, he moves on to clarify what they must offer by law and what benefits the firm would like to provide.
A highly entrepreneurial, performance-driven company, The Camera Center provides an excellent profit-sharing plan and one of the best retirement packages in the industry. The firm commits a high portion of compensation funds to the benefits plan. The workforce tends to be college-educated, young professionals who are just starting their families.
The CEO wants the total benefits plan reviewed and repackaged, if necessary, to align it with The Camera Center's business culture and strategy. He also wants to contain costs as much as possible and simplify benefits 
administration.
-Refer to Additional Case 12.1.The HR Director's initial explanation is about the ________ of the benefits plan.

Accepted Answer

A)  contributions 
B)  co-payments 
C)  deductible 
D)  flexibility 
A)  contributions 
B)  co-payments 
C)  deductible 
D)  flexibility

Question 20

Backup care is an employee benefit intended to meet the needs of employees who care for either elder family members or children.

Accepted Answer

A) True 
 B)False

The individual retirement account (IRA)is primarily appropriate for:

Which of the following is the most popular employee service?

What are the three areas that an employer needs to consider when establishing a benefits plan? How can HR use technology to ensure that employees clearly understand an employer's benefits plan?

The ________ is the complete package of benefits that a company offers its employees.

The cost of employee benefits has risen to nearly 50% of an employer's payroll costs.

The benefits amount corresponds to which direct compensation decision?

What are the primary forms of paid time off available to most employees? How can a firm's HR department contain the costs associated with paid time off?

Former employees may be denied unemployment insurance benefits if they:

of large and medium-sized private businesses in the United States offer health insurance to their employees,and of small firms offer health insurance.

Which of the following is a characteristic of most cash balance plans?

A self-insurance pool is best defined as a:

Kevin's new employer informs him that he will be allowed a flexible benefits program for the duration of his employment at Comfortable Furniture.This means that Kevin will most likely be able to:

Companies use flexible benefits programs in order to:

Which of the following guarantees that accrued retirement benefits will be given to retirement plan participants when they leave the employer?

Which of the following is most likely a true statement?

Raj has personal investment plans for retirement.He also is involved with his company's retirement plan; his company contributes to his retirement each month.His personal contributions are ,and his company's contributions are .

HR can have an important part in lowering unemployment insurance costs for a company by:

Jessica recently had outpatient surgery.Her insurance plan requires a deductible of $500.This means that the insurance company will pay 100% of the first $500,but after that will only pay a percentage of the bill.

Backup care is an employee benefit intended to meet the needs of employees who care for either elder family members or children.

Meeting Present and Emerging Strategic Human Resource Challenges

Managing Work Flows and Conducting Job Analysis

Understanding Equal Opportunity and the Legal Environment

Managing Diversity

Recruiting and Selecting Employees

Managing Employee Separations, Downsizing, and Outplacement

Appraising and Managing Performance

Training the Workforce

Developing Careers

Managing Compensation

Rewarding Performance

Developing Employee Relations

Respecting Employee Rights and Managing Discipline

Working With Organized Labor

Managing Workplace Safety and Health

International HRM Challenge

Filters

Exam 12: Designing and Administering Benefits

The individual retirement account (IRA)is primarily appropriate for:

Which of the following is the most popular employee service?

What are the three areas that an employer needs to consider when establishing a benefits plan? How can HR use technology to ensure that employees clearly understand an employer's benefits plan?

The ________ is the complete package of benefits that a company offers its employees.

The cost of employee benefits has risen to nearly 50% of an employer's payroll costs.

The benefits amount corresponds to which direct compensation decision?

What are the primary forms of paid time off available to most employees? How can a firm's HR department contain the costs associated with paid time off?

Former employees may be denied unemployment insurance benefits if they:

________ of large and medium-sized private businesses in the United States offer health insurance to their employees,and ________ of small firms offer health insurance.

Which of the following is a characteristic of most cash balance plans?

A self-insurance pool is best defined as a:

Kevin's new employer informs him that he will be allowed a flexible benefits program for the duration of his employment at Comfortable Furniture.This means that Kevin will most likely be able to:

Companies use flexible benefits programs in order to:

Which of the following guarantees that accrued retirement benefits will be given to retirement plan participants when they leave the employer?

Which of the following is most likely a true statement?

Raj has personal investment plans for retirement.He also is involved with his company's retirement plan; his company contributes to his retirement each month.His personal contributions are ________,and his company's contributions are ________.

HR can have an important part in lowering unemployment insurance costs for a company by:

Jessica recently had outpatient surgery.Her insurance plan requires a deductible of $500.This means that the insurance company will pay 100% of the first $500,but after that will only pay a percentage of the bill.

Backup care is an employee benefit intended to meet the needs of employees who care for either elder family members or children.

Meeting Present and Emerging Strategic Human Resource Challenges

Managing Work Flows and Conducting Job Analysis

Understanding Equal Opportunity and the Legal Environment

Managing Diversity

Recruiting and Selecting Employees

Managing Employee Separations, Downsizing, and Outplacement

Appraising and Managing Performance

Training the Workforce

Developing Careers

Managing Compensation

Rewarding Performance

Developing Employee Relations

Respecting Employee Rights and Managing Discipline

Working With Organized Labor

Managing Workplace Safety and Health

International HRM Challenge

Filters

of large and medium-sized private businesses in the United States offer health insurance to their employees,and of small firms offer health insurance.

Raj has personal investment plans for retirement.He also is involved with his company's retirement plan; his company contributes to his retirement each month.His personal contributions are ,and his company's contributions are .