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Exam (elaborations)

MNGT 502 Assignment Questions And Answers Already Passed.

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Below are three financial metrics: Net present value (NPV) Cost of Capital Internal rate of return (IRR) Match them to their appropriate description A: Estimates the return associated with cash flows generated by a project or venture while accounting for interest B: Acts a minimum...

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  • September 5, 2024
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MNGT 502 Assignment Questions And
Answers Already Passed.
Below are three financial metrics:

Net present value (NPV)

Cost of Capital

Internal rate of return (IRR)



Match them to their appropriate description



A: Estimates the return associated with cash flows generated by a project or venture while accounting
for interest



B: Acts a minimum threshold return on investment



C: Estimates the interest rate that would apply to a projected cash flow for the projects costs to equal its
benefits - Answer A: Net Present Value

B: Cost of Capital

C: Internal Rate of Return



Which of the following single metrics offer unambiguous evidence that an organization is effectively
executing its strategy

A. A positive net present value (NPV)

B. None

C. A positive internal rate of return (IRR)

D. A positive return on investment

E.A rising stock price - Answer B. None

,Of the following aims, Which should a compensation system achieve at a minimum?

A.Compensation and benefits decisions should be competitive with the market in ways that facilitate
strategy execution



B.Compensation and benefits decisions should be made in ways that recognize employees for their
contributions



C.Compensation and benefits should be aligned with and support the business strategy



D.Compensation and benefits decisions should reflect the strategic value of the work - Answer All



From a motivational standpoint, what should compensation and benefits policies do?

A. Clarify any pay discrepancies that occur in practice



B. Reinforce desired behaviors and punish undesired or counterproductive behaviors



C. Clarify how pay relates to the nature of the job on day to day basis and meeting business goals



D. Adress the needs of empoyees via a mix of compensation practices (E.g., base pay, adjustments,
discretionary benefits). - Answer All



Which of the following adjustments to core compensation reflect pay for performance in a way that
involves and requires the subjective appraisals of supervisors?

A. Incentive Pay



B. Person-focused pay



C. Merit pay



D. Seniority pay - Answer C. Merit Pay

, Ther are several adjustments to core compensation that we've covered in this class:

Merit

Incentive

Pay for knowledge

Pay for skill

Pay for competency



Which of these reflects pay for potential performance (e.g., pay increases occur because you've attained
a valuable certificate, such as an MBA)?



A. Merit



B. Pay for competency



C. Incentive



D. Pay for knowledge



E. Pay for skill - Answer B. Competency

D. Knowledge

E. Skill



Which of the following compensation policies would help you to control your labor costs?



A. Longevity-based pay



B. Merit based pay with permanent pay increases for exceptional performance

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