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In Order to Show How the Rate of Compensation Changes

Question 37

Multiple Choice

In order to show how the rate of compensation changes compares with the rate of changes in the organization's revenues overall


A) compensation metrics should be calculated each year and compared with previous years' metrics.
B) compensation metrics should be calculated for regular employees (excluding compensation for part time employees) and compared with previous years' metrics.
C) the board of directors should have compensation metrics calculated on a rotating basis: Human value added one year, return on human capital invested the next year, and so forth. This provides the "big picture" strategically.
D) total compensation should be charted against total revenues, and any upward change in total compensation should be analyzed.

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