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A pay policy lineA. shows the mathematical relationship between the minimum pay and the maximum pay in an organization.B. can be generated using a statistical method called regression analysis.C. requires market-pay-rate data on all jobs in the organization.D. can seldom provide information on the market pay level for a given job evaluation.E. reflects the pay structure in the market, which always matches rates in the organization.

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Answer: (E)

A pay policy line "reflects the pay structure in the market, which always matches rates in the organization."

Explanation:

A company will usually consider the the general pay structure of its market while setting its own pay level. This helps prevent the company from overpaying or underpaying its employees.

This pay level the company sets its pay at, is called a pay policy line.

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