Trends in Hiring Practices

question 70

Multiple Choice

Trends in Hiring Practices
Zachary Schneider saw a sign in the window of an Amy’s Ice Creams franchise operation. The sign said the company was looking for new employees. When he went in to ask for a job application, he was given a paper bag and told to do “something creative with it.” The test was to see whether the job applicant was suited to carrying out the chain’s mission: “To make people’s day.” This type of pre­employment assessment is not unusual. Gourmet grocery chain Central Market uses a four­page application form which includes essay questions such as “Tell us about your favorite food experience.” If it seems an applicant is a good match for the company, he or she is asked to make a statement about himself or herself using items found in the grocery store and to participate with other applicants in a roundtable discussion.

-Refer to Trends in Hiring Practices. Amy's is convinced that how applicants respond to its request to do something creative with a brown paper bag accurately predicts how well job applicants will perform if hired. In other words, it believes its pre-employment assessment method is____________ .

• A) standardized
• B) valid
• C) efficient
• D) economical
• E) reliable

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Definitions:

Sales Tax

A tax imposed by a government on the sale of goods and services, usually calculated as a percentage of the retail price.

Ordinary Repair

Expenditures to maintain the operating efficiency and expected productive life of an asset, treated as an expense.

Capitalization

The total value of all a company's outstanding shares of stock, calculated by multiplying the share price by the total number of shares.

Net Income

The total profit of a company after all expenses and taxes have been deducted from revenues.