Which of the Following Pay Level Models Is Appropriate for a Company

question 85

Multiple Choice

Which of the following pay level models is appropriate for a company if market pressures or labor supply-and-demand pressures greatly impact the company?

• A) Broadbanding
• B) Delayering and banding
• C) Pay grading system
• D) Management fit model
• E) Going rate model

---

Definitions:

Job-Order Costing

A cost accounting system in which costs are assigned to specific jobs or batches, used in industries where goods or services are produced upon request.

T-Accounts

A tool used in accounting to represent the credits and debits for each transaction that occurs for each account within the double-entry bookkeeping system.

Manufacturing Overhead

All manufacturing costs that are not directly linked to the production of goods, such as maintenance of equipment and factory rent.

Job-Order Costing

An accounting method that tracks costs individually for each job, rather than on a per-unit basis.