In Developing a New Performance Appraisal System, Organization C Made

question 77

Multiple Choice

In developing a new performance appraisal system, Organization C made an appraisal plan, decided who would be doing the appraising and how it would be done, and even included appraisal training. Which one of the following is an important step that Organization C missed?

• A) clearly communicating in advance the company's plans for employees who do not meet standards.
• B) gaining support from top management, which should occur near the beginning of the process
• C) informing employees how the process would go to alleviate anxiety
• D) examining the performance standards through job analysis

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Definitions:

Contra-revenue Account

is an account that is deducted from gross revenues to arrive at net revenue, examples include sales returns, allowances, and discounts.

Sales Returns

Transactions where customers return previously purchased merchandise, leading to a debit to the sales returns account and a credit to accounts receivable or cash.

Gross Sales

The gross sales income of a business before subtracting any returns, allowances, or discounts.

Credit Sales

Sales transactions where payment is not received at the time of purchase but is instead deferred to a later date.