13.1

1.

1 point

Which of the following is true about the aspects of benefits?

There is no question of legal compliance.

They have become institutionalized.

They are less liquid than wages and salaries.

They are less complex than other forms of compensation.

It is very common to find employers not offering medical benefits.

2.

1 point

Which of the following is a major reason for giving more responsibility to employees for retirement planning?

To achieve favorable tax treatment

To increase the employees' understanding of the value of such benefits

To increase the return on the employers' investments

To discourage potential applicants

To retain existing talent

3.

1 point

The _____ tax rate is the percentage of additional earnings that goes to taxes.

resulting

incremental

net

gross

marginal

4.

1 point

Which one of the following has been an underlying reason for the growth in benefits over time?

The range of benefits change in correspondence to change in wage and price controls.

The fall of organized labor from the 1930s through the 1950s.

The cost advantage that groups typically receive over individuals.

The tax treatment of benefits programs is favorable for employers than the tax treatment of wages and salaries.

The similarity in benefits provided to all employees to avoid differentiation.

5.

1 point

Which of the following is true about benefits programs?

Total compensation costs increase with establishments.

The percentage of employees covered by benefits programs falls with increase in establishment size.

The number of employees covered by benefits programs account for a low percentage amongst the largest employers.

Public group insurance is one of the categories of benefits programs.

The prevalence of benefits programs in establishments is not very high.

6.

1 point

Which of the following was an amendment to the Social Security Act of 1935?

Descendant's insurance

Estate insurance

Hospital insurance

Posterity insurance

Inability insurance

7.

1 point

Which of the following is true about the coverage of OASDHI program?

There are no eligibility requirements to be met by an individual to receive benefits.

Only about fifty percent U.S. employees are covered by the program.

High earners help subsidize benefit payments to low earners.

Old-age insurance benefits for fully insured workers begin at the age of 50.

Federal, state, and local government employees account for a high percentage of employees covered under this program.

8.

1 point

_____ increases are provided as a part of social security benefits for each year that the consumer price index increases.

Healthcare

Cost of education

Accidental

Real estate

Cost-of-living

9.

1 point

Which of the following is true about Social Security retirement benefits?

Eligibility rules do not exist to receive benefits.

Benefits are entirely free from state income tax.

An earnings test exists for those beneficiaries aged 50 and under.

Benefits are subject to federal income tax.

The earnings test increases a person's incentive to retire.

10.

1 point

Which one of the following is a major objective of the unemployment insurance program?

To enable contracting of existing labors to outside firms

To make up for the lost income during a labor dispute

To motivate workers by providing income during long work hours

To provide an incentive for employees to stabilize employment

To offset lost income during voluntary unemployment