If an Organization Has a Profit-Sharing Plan in Which Top

question 7

Multiple Choice

If an organization has a profit-sharing plan in which top executives are able to purchase the company's stock at a discount whenever the organization has a highly profitable year,this organization is acting consistently with Fayol's principle of:

• A)Unity of command
• B)Discipline
• C)Line of authority
• D)Unity of direction
• E)Remuneration of personnel

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Definitions:

Conservative Decisions

Decision-making approaches that tend to be cautious and to favor current conditions or minimize risk.

Framing Bias

A cognitive bias where people decide on options based on if the choices are presented with positive or negative connotations.

Industrial Relations

The study and practice of managing the relationship between employers and employees, often focusing on collective bargaining, workplace disputes, and labor legislation.

Union Negotiators

Representatives of a labor union who engage in discussions with employers to establish terms of employment, wages, and workplace conditions for their members.