A Survey Conducted in January,2007 Found the Median Pay Effective

question 39

Multiple Choice

A survey conducted in January,2007 found the median pay effective January 1,2007,for a clerk was $20,000 and the forecast rate of wage increases in the market for 2007 of was 5% and another 5% for 2008.If an employer chooses to follow a strategy of lagging the market by 3% for the plan year 2008,they will need to _____.

• A) add 3% to $20,000
• B) multiply the salary by 103%
• C) multiply the salary by 108%
• D) multiply the salary by 105% and then by 103%

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Definitions:

Market Segments

Divisions of a market into distinct groups of buyers with different needs, characteristics, or behaviors.

Marketplace

An area or venue (physical or online) where goods and services are exchanged between buyers and sellers.

Marketing Strategy

A comprehensive plan formulated by a business to achieve its marketing goals, including targeting specific markets and determining the most effective ways to reach them.

Multiple Regions

Refers to the operation or presence of a business, product, or service in more than one geographical area or market.