What Is the Psychological Contract Between an Employee and His

question 17

Multiple Choice

What is the psychological contract between an employee and his or her employer?

• A) Terms of employment including the salary and benefits associated with an employee's position
• B) Employee's perception about how the company should treat him or her as an employee
• C) Beliefs, perceptions, expectations, and obligations that comprise an agreement between individuals and their organizations
• D) Formal contract between individuals and their employer that details the beliefs and obligations of both parties
• E) Contract an employee signs to verify that he or she is of sound mind to serve in the capacity outlined by his or her job title

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Definitions:

Cash Inflows

The total amount of money being transferred into a business, from sales, investments, or financing activities.

Financial Reporting Practices

Procedures and standards governing how a company's financial health and operations are recorded, summarized, and reported to stakeholders.

Budgeting System

A systematic approach to planning and controlling the financial resources of an organization or individual.

Accrual Accounting

Accounting method that records revenues and expenses when they occur, not necessarily when cash actually changes hands.