The Findings of a Recent Company Survey at Rader Industries

question 102

Multiple Choice

The findings of a recent company survey at Rader Industries showed that employees are experiencing high levels of work stress. To offset this, a manager suggests instituting a leave policy whereby employees must go on a mandatory vacation for seven days in the year.
-Under which of the following conditions, if true, would the manager's suggestion least likely be accepted?

• A) The company conducts one-day offsite events on an annual basis to allow employees some time to unwind.
• B) The skills required by the company are highly specialized, and hence the company is short-staffed.
• C) The employees, though experiencing high levels of stress, also report high levels of job engagement.
• D) The company's employees have reported high stress levels for more than three years in a row.
• E) The company's leading competitor was recently voted as one of the best places to work due to its focus on employee well-being.

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Definitions:

Office Equipment

Items and machinery used in an office for the purpose of carrying out business activities, like computers, printers, and furniture.

Depreciation

The systematic periodic transfer of the cost of a fixed asset to an expense account during its expected useful life.

Administrative Expense

Expenses related to the general operations of a business, such as salaries of non-sales personnel, rent, utilities, and office supplies.

Period Cost

Costs that are not directly tied to the production process and are expensed in the period in which they are incurred, such as selling, general, and administrative expenses.