Felicia, a New Analyst, Is Considering Asking Managers at Various

question 58

Multiple Choice

Felicia, a new analyst, is considering asking managers at various facilities to use the diary method of job analysis. As an expert in HR matters, what advice would you give her, since you want to help her do the right thing.

• A) This technique is the quickest of all the job analysis methods.
• B) It is the most objective method.
• C) It is easy to use - no training required.
• D) Sometimes people report what they think you want to hear rather than what they do.
• E) The PAQ is an automated package that facilitates this process.

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Definitions:

Sunk Cost

A cost associated with a project expended prior to making the decision to undertake that project (for example, the cost of research into the idea). Since sunk funds are already gone, they cannot alter future costs or benefits, and should not be included in the analysis leading to a decision.

Opportunity Cost

The benefit foregone by using an asset in a particular way. Usually the income or benefit it would produce in its next best use.

Cash Outflow

Money going out of a business or individual's account, typically to pay for expenses, investments, or acquisitions.

Net Working Capital

Net working capital refers to the difference between a company's current assets and its current liabilities.