Equity Theory Is Useful to Human Resource Managers Because It

question 1

Multiple Choice

Equity theory is useful to human resource managers because it:

• A) relies on intrinsic motivation rather than on extrinsic motivation.
• B) ensures that everyone shares equally in any outcomes regardless of their contributions.
• C) makes it clear that any rewards associated with effort or performance will be evaluated.
• D) focuses on what motivates a person, rather than on how that motivation occurs.

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Definitions:

Taxes

Compulsory financial charges or levies imposed by a government on individuals, corporations, and other entities to fund government spending.

Trading Range

The spread of prices at which a stock or other security trades over a certain period of time.

Shareholder Wealth

The overall value of an individual's or entity's shares in a company, often measured by stock prices and dividends.

Share Repurchase Agreements

Contracts in which a company agrees to buy back its own shares from shareholders, often to reduce the number of outstanding shares and increase the value of remaining shares.