Worldatwork CECP Exam Practice Test Instant Access

Question 1

What is a primary purpose of pay grades or bands?

ATo identify a compensation range in which to group multiple jobs with similar value

BTo meet legal and regulatory requirements for classifying jobs according to market value

CTo provide documentation that supports termination decisions

DTo justify paying some employees less than market based on internal administrative limitations

Answer : A

Question 2

Which of the following is the best definition of variable pay?

ACompensation that is given in the form of perquisites such as a company car, fitness membership, paid training, etc.

BCompensation that is nondiscretionary and does not vary according to performance or results

CCompensation that is contingent on discretion, performance or results

DCompensation that is determined by the organization's pay structure

Answer : C

Question 3

What best describes the two primary elements of compensation?

AFixed pay and variable pay

BBase pay and annual incentives

CDirect and indirect compensation

DSalary and hourly rate

Answer : A

Question 4

Cash compensation is a reward intended to provide what type of motivation?

AIntrinsic

BExtrinsic

Answer : B

Question 5

Which of the following is primarily focused on giving special attention to employee actions, efforts, behavior or performance?

ACompensation

BBenefits

CCareer opportunities

DRecognition

Answer : D

Question 6

When connecting with other business units, what best describes a reason why is it important to keep up to date on organizational challenges?

ABecause you will be more informed when differences of opinion occur, lending more credibility to your position

BBecause you can demonstrate your understanding of issues from multiple perspectives

CBecause you will be able to explain the negative consequences of opposing your position

DBecause stakeholders with diverse opinions tend to compromise when they are aware that others know their weaknesses

Answer : B

Question 7

When trying to achieve compromise and collaboration to achieve your goals, on which stakeholder(s) should you focus most of your efforts?

AThe most senior leader with the highest level of authority

BNo one person. Identify your stakeholders and work to achieve consensus among the majority.

CInfluencers and decision-makers who have the respect of employees and are both proponents and opponents of your objectives

DIndividuals with power in the organization who have the authority to overrule the concerns of opponents

Answer : C

Worldatwork Certified Executive Compensation Professional Exam Practice Test