Which of the Following Statements Is True of Employee Turnover

question 131

Multiple Choice

Which of the following statements is true of employee turnover?

• A) The top management of a company prefers dysfunctional turnover to functional turnover.
• B) One of the best ways to influence functional and dysfunctional turnover is to link pay directly to performance.
• C) Functional turnover is the loss of high-performing employees who voluntarily choose to leave a company.
• D) Dysfunctional turnover gives an organization a chance to replace poor performers with better workers.

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Definitions:

Direct Labor Hours

The total hours worked directly on producing a product or delivering a service, often used as a basis for allocating manufacturing overhead to products or services.

Engineering Changes

Modifications to the design, materials, or specifications of a product or system, often made to improve performance, reduce costs, or correct defects.

Indirect Cost

Expenses not directly tied to the production of goods or services, such as administrative salaries, rent, and utilities.

Days' Payable Outstanding

A financial metric that calculates the average time it takes a company to pay its invoices from suppliers, reflecting its payment process efficiency.