Q 1. Define incentive pay and identify the two key differences between incentive pay and merit pay. 10 pts2. Define external competitiveness as it relates to compensation. 15 pts3. Using the internal structure design terms found on page 86 of the textbook, describe the structure of the Pennsylvania Power and Light pay system found in Exhibit 3.11, pages 97 and 98 of the textbook. 15 pts4. There has been a lot of discussion about raising the minimum wage. Several state and local governments increased their minimum wage in the past few years. What impacts would raising the minimum wage have on an organization, its workers, and its customers? 15pts5. What factors should be considered in determining relevant comparison labor markets for setting wage rates in an organization? 10 pts6. What are compensating differentials and how do they impact pay rates? 10 pts7. Briefly describe the main features of equity theory and tournament theory and contrast their predictions. 15 pts