ConocoPhillips
The Canadian arm of ConocoPhillips is one of Canada's largest oil and gas exploration and production companies.ConocoPhillips cut 1 000 jobs early in 2015 and will be eliminating around 1 810 more positions by the end of 2015 due to company losses in the millions,the result of the low oil prices.The CEO stated that the company is eliminating 10 percent of its workforce this year.ConocoPhillips plans to eliminate more than 400 jobs and 100 contractors in Canada.The CEO further stated that the company needs to cut jobs to ensure that the company becomes more competitive.
ConocoPhillips is preparing for a period of lower and more volatile oil prices and has cut back its spending forecasts.The company is also paring back its deep water exploration and Alberta oil sands projects.ConocoPhillips shares have fallen 41 percent over the last year,reaching their lowest price in five years.

Which of the following is a short-term cost adjustment that ConocoPhillips could consider to reduce costs?
A) exit incentives
B) lending workers
C) extending reductions in salary
D) reducing overtime

Question

​ConocoPhillips
The Canadian arm of ConocoPhillips is one of Canada's largest oil and gas exploration and production companies.ConocoPhillips cut 1 000 jobs early in 2015 and will be eliminating around 1 810 more positions by the end of 2015 due to company losses in the millions,the result of the low oil prices.The CEO stated that the company is eliminating 10 percent of its workforce this year.ConocoPhillips plans to eliminate more than 400 jobs and 100 contractors in Canada.The CEO further stated that the company needs to cut jobs to ensure that the company becomes more competitive.
ConocoPhillips is preparing for a period of lower and more volatile oil prices and has cut back its spending forecasts.The company is also paring back its deep water exploration and Alberta oil sands projects.ConocoPhillips shares have fallen 41 percent over the last year,reaching their lowest price in five years.
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Which of the following is a short-term cost adjustment that ConocoPhillips could consider to reduce costs?
A) exit incentives
B) lending workers
C) extending reductions in salary
D) reducing overtime

Quizplus · Accepted Answer

Reducing overtime is a short-term cost adjustment that ConocoPhillips could consider to reduce costs. This would involve reducing the amount of overtime pay that employees receive, resulting in immediate cost savings for the company. Exit incentives (A) involve offering packages for employees to voluntarily leave the company, which would not be a short-term cost adjustment. Lending workers (B) would likely not result in immediate cost savings for the company, and extending reductions in salary (C) would not be a short-term adjustment as it would involve changing employee contracts.

​ConocoPhillips The Canadian Arm of ConocoPhillips Is One of Canada's Largest

ConocoPhillips The Canadian Arm of ConocoPhillips Is One of Canada's Largest