Which of the following best explains why many businesses use employee leasing firms?
A) Firms save money by hiring part-time or temporary workers.
B) Investment opportunities are more plentiful and reliable.
C) Small companies are able to get better insurance rates.
D) Franchise owners can offer more flexible schedules.
Question 2
Orion is a business software firm based in Atlanta that employs over 400 people. Orion has traditionally provided legislatively required benefits for its employees including Social Security, workers' compensation, and unemployment insurance.
In addition, Orion offers employees health and dental insurance. Orion employees work Monday through Friday on a 9 to 5 schedule. Orion's top executives are considering the idea of adding a flexible benefits plan and implementing a flexible work schedule.
Which of the following, if true, best supports the argument that Orion should offer its employees a cafeteria benefits plan?
A) Orion lacks the resources to join a low-cost health insurance plan, so the firm belongs to a pool with other businesses.
B) Some Orion employees have indicated that they would like vision insurance, while others have no interest in dental insurance.
C) Orion offers its employees a PPO health insurance plan, but employees have expressed interest in an HMO plan.
D) Orion outsources its employee benefits program, so employees go through the plan's administrator when filing claims.
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Economic objectives of firms