Suppose you are the HR manager of Anexta Inc. You have decided to reward your employees through variable pay programs. As a method you have chosen merit based pay just to promote individual performance. Following table shows the merit award determination metrix. D G 1 Employee performance rating Company performance rating Outstanding Excellent GoodMarginal Unacceptable 1.00 0.90 0.8 2 0.7 0.00 3 Outstanding 4 Excellent 5 Good 6 Marginal 7 Unacceptable 0.90 0.8 0.7 0.6 0.00 0.80 0.7 0.6 0.5 0.00 0.70 0.5 0.7 0.6 0.0 8. 9 10 11 a) Determine the dollar value of an employe award who had a basic salary of BDT 20,000 and a maximum incentive award of 7%. Assume that both the company and employee have 'excellent
Suppose you are the HR manager of Anexta Inc. You have decided to reward your employees through variable pay programs. As a method you have chosen merit based pay just to promote individual performance. Following table shows the merit award determination metrix. D G 1 Employee performance rating Company performance rating Outstanding Excellent GoodMarginal Unacceptable 1.00 0.90 0.8 2 0.7 0.00 3 Outstanding 4 Excellent 5 Good 6 Marginal 7 Unacceptable 0.90 0.8 0.7 0.6 0.00 0.80 0.7 0.6 0.5 0.00 0.70 0.5 0.7 0.6 0.0 8. 9 10 11 a) Determine the dollar value of an employe award who had a basic salary of BDT 20,000 and a maximum incentive award of 7%. Assume that both the company and employee have 'excellent
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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determine the dollar value of an employee award who had a basic salary of BDT 20,000m incentive award of 7%. Assume that both the company and employee have excellent performance
Transcribed Image Text:Suppose you are the HR manager of Anexta Inc. You have decided to reward your employees
through variable pay programs. As a method you have chosen merit based pay just to promote
individual performance. Following table shows the merit award determination metrix.
C
F
G
Company performance rating
Outstanding
1 Employee performance rating
Excellent GoodMarginal Unacceptable
0.90 0.8
2
3 Outstanding
1.00
0.7
0.00
4 Excellent
0.90
0.8
0.7
0.6
0.00
5 Good
0.80
0.7 0.6
0.5
0.00
6 Marginal
7 Unacceptable
0.70
0.5
0.7
0.6
0.0
8
9
10
11
a) Determine the dollar value of an employe award who had a basic salary of BDT 20,000 and a
maximum incentive award of 7%. Assume that both the company and employee have 'excellent
'performance.
b) What if the company had 'good' performance and the employees has 'Marginal' ?
c) Under which situations you would not consider your employees for any award and why ?
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