Human Capital Refers To

question 33

Multiple Choice

Human capital refers to:

• A) the net present value of the future competencies of the workforce.
• B) the amount of money purchasers of the firm would pay for the continuing employment of the present workforce.
• C) the value-added that the firm's workforce contributes to each product produced or service rendered.
• D) knowledge and skills of the firm's work force.

---

Definitions:

Governmental Rules

Regulations and directives established by government bodies that dictate the conduct of individuals, businesses, and other organizations within its jurisdiction.

Effective Benefits Program

A well-designed package of employee benefits that supports the overall well-being and financial security of the workforce, thereby enhancing job satisfaction and loyalty.

Defined-Contribution

A type of retirement plan where an employer, employee, or both make contributions, but future benefits depend on investment performance.

Defined-Benefit Pension Plans

Retirement plans where the employer guarantees a specific retirement benefit amount based on factors such as salary history and duration of employment.