What Is the Likely Impact of Perquisites on the Employees

question 42

Multiple Choice

What is the likely impact of perquisites on the employees who receive them?

• A) A lowered sense of commitment to the organisation
• B) An elevated sense of status in the organisation
• C) A perceived levelling out of special privileges among employees
• D) Increased turnover due to lower restrictions on travel
• E) Reduced job satisfaction since perquisites can be taxed

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Definitions:

Monopoly

A market structure characterized by a single seller, selling a unique product in the market without any close substitutes, holding significant market power.

Production Function

An equation, table, or graph that shows the maximum output that can be produced with a given set of inputs, based on the technology available.

Labor

Human endeavor, incorporating both the physical and the mental, aimed at producing goods and services.

Demand Curve

A graphical representation of the demand function, showing the relationship between the price of a good and the quantity demanded, typically downward-sloping.