Worldatwork
CECP
Q1:
What type of equity incentive gives employees the right to purchase company shares at a specified price?
○
A
Stock/share options○
B
Stock/share grants○
C
Restricted stock/shares○
D
Performance units
Worldatwork
CECP
Q2:
Which of the following is the most accurate statement about the business strategy?
○
A
It usually is a secondary consideration in compensation design.○
B
It is the company's plan for competitive positioning of its products or services.○
C
It must be written after the company's operating plans are approved by senior management.○
D
It is developed for compensation, benefits and the work-life using the HR strategy as a basis.
Worldatwork
CECP
Q3:
What best defines the organization's purpose or reason for existence?
○
A
The corporate mission○
B
The business strategy○
C
The compensation strategy○
D
The corporate vision
Worldatwork
CECP
Q4:
What type of pay increase is given when an organization finds that its compensation program is behind competitive market rates?
○
A
General○
B
Cost of living○
C
Automatic○
D
Merit
Worldatwork
CECP
Q5:
Which of the following statements is most accurate regarding pay grades/bands?
○
A
They include incentives that are paid out at certain times of the year○
B
They identify the actual compensation paid to each employee○
C
They may overlap with minimums and maximums falling within adjoining grades○
D
They represent the difference between the midpoint and the maximum of a given salary grade