What Is the General Method Used to Determine the Relative

question 47

Multiple Choice

What is the general method used to determine the relative value or worth of jobs to an organization?

• A) Job analysis
• B) Comparable worth
• C) Job evaluation
• D) Compensable factors
• E) Pay compression

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Definitions:

Merchandise Creditors

Suppliers or vendors to whom a company owes money for inventory purchased on credit.

Current Liability

A current liability is a company's short-term financial obligation that is due within one year or within the normal operating cycle.

Current Asset

Assets expected to be converted into cash, sold, or consumed within one year or the normal operating cycle of a business, whichever is longer.

Direct Method

A way of preparing the cash flow statement where actual cash flow information from the company's operations is used, as opposed to the indirect method which adjusts net income for accruals.