Worldatwork CECP Exam Questions Instant Access

Question 1

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 2

How is the performance review related to pay?

AIt isn't. The performance review should not be related to pay decisions.

BIt is related to the extent that it affects variable pay awards. Base pay is based solely on tenure, prior experience and job skills.

CIt helps managers meet salary budgets by allowing them to adjust review results to align with available salary increase funds.

DIt provides managers a measure that can be used along with salary planning guidelines to determine appropriate rewards or consequences.

Answer : D

Question 3

Quarterly financial reports typically include data for a given quarter compared to what?

AThe previous quarter

BThe budget

CThe same quarter in the previous year, plus the current six-month or nine-month cumulative comparables

DThe aggregate performance of the same quarter in the previous three years

Answer : C

Question 4

Using efficient and cost-effective approaches to integrate technology into the workplace is an example of what key competency for compensation professionals?

AFinancial Management

BHR Management

CResource Management

DPolicy Management

Answer : C

Question 5

''Cost-benefit thinking'' is most useful in the context of financial management for purposes of what?

AProcurement

BRecruiting

CSetting priorities

DPlan administration

Answer : C

Question 6

Which of the following are the two primary elements of benefits?

AMental health coverage and health care coverage

BPay for time not worked and income protection programs

CUnemployment and disability

DDefined contribution and defined benefits plans

Answer : B

Question 7

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

Worldatwork Certified Executive Compensation Professional CECP Exam Questions