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Total 89 questions

Regulatory Environments for Benefits Programs Questions and Answers

Question 1

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

Options:

A.

The most senior leader with the highest level of authority

B.

No one person. Identify your stakeholders and work to achieve consensus among the majority.

C.

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

D.

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

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Question 2

What statement is most accurate regarding communication of compensation information?

Options:

A.

Compensation professionals should anticipate the level of the audience and tailor messages to their needs.

B.

Compensation terms and practices are unclear to most individuals who do not work in this area and communication should be tailored to the least informed member of the target audience.

C.

The ready availability of information online has made it unnecessary for compensation professionals to tailor messages since individuals can research terms and concepts after the fact if they don’t understand a communication.

D.

Compensation terms are well-known and easily understood by most stakeholders.

Question 3

What best describes the most effective tactic for getting stakeholders’ attention and buy-in?

Options:

A.

Ask them to review or provide feedback, especially on something you have done for them

B.

Talk to the individuals they report to in advance and gain their support so the stakeholders realize upper management already supports your position

C.

Schedule a meeting of all stakeholders and make a strong case that overcomes all of their objections

D.

Explain in precise terms to each stakeholder how your position is the most realistic approach to the issue or concern

Question 4

Upon which criterion are step increases typically based?

Options:

A.

Market adjustment

B.

Longevity

C.

Individual performance

D.

Skills   

Question 5

How does the Fair Labor Standards Act require employers to pay their nonexempt employees?

Options:

A.

Double time for time worked on Sunday

B.

Time and a half for all hours worked over 40 in the workweek

C.

Time and a half for all hours worked over 8 in the workday

D.

Double time for work on Saturday

Question 6

What was the Bennett Amendment intended to do?

Options:

A.

Make it easier to enforce the Equal Pay Act

B.

Make the regulations covered under Title VII of the Civil Rights Act of 1964 more strict

C.

Eliminate the potential conflict between Title VII and EPA

D.

Prohibit gender-based discrimination

Question 7

Regarding presentations to executives, which of the following is most accurate?

Options:

A.

Keep them brief

B.

Use multiple media

C.

Include all details related to the issue

D.

Leave backup data out of the presentation so there is time to develop an effective response to unexpected questions

Question 8

Which of the following would most likely be considered a "repeated" violation of the FLSA?

Options:

A.

An employer who should have inquired further into whether its conduct was in compliance with the act and failed to do so.

B.

An employer that had a prior finding by the Labor Department, court or another tribunal with the authority to make such a finding

C.

An employer knowing its conduct was prohibited under the act or showing reckless disregard for the requirements of the act

D.

When the Labor Department has advised an employer that its actions were unlawful

Question 9

The Delta Company has experienced increased turnover in the past two years. Data from exit interviews indicate that most of those leaving did so for better opportunities and higher compensation. If Delta pays at the highest percentile of the market for their peer group, what data analysis should they do?

Options:

A.

Additional quantitative analysis to determine whether pay rates are truly competitive or existing data are unreliable

B.

Qualitative data collection to talk to key stakeholders and employees and determine whether the exit interviews accurately reflect their concerns

C.

Qualitative data collection in the form of an employee survey with questions about employee satisfaction with pay levels

D.

No additional data analysis is needed. Delta should increase pay rates based on the existing data to decrease turnover.

Question 10

Which of the following statements best describes defined contribution (DC) plans?

Options:

A.

They require complex actuarial calculations and assumptions.

B.

The benefit is based on a formula that considers pay and service.

C.

They generally provide better benefits to employees with longer service.

D.

The employee assumes the risk for the investments.   

Question 11

The “return” represented by the Total Shareholder Return (TSR) metric is the increase in what?

Options:

A.

Earnings

B.

Shares

C.

Market capitalization

D.

Increased market value and reinvested dividends paid

Question 12

Regarding cost analysis of compensation expense, which job is most likely to incur fixed costs for the company?

Options:

A.

Production worker

B.

Account executive

C.

IT contractor

D.

HR Director

Question 13

The XYZ Company opened a new manufacturing facility with a capital investment of 10,000,000. The cost to obtain the capital was 8%. In its first year of operations, the facility’s net operating profit after taxes was 10,500,000. What was the economic value added (EVA) using the EVA formula?

Options:

A.

500,000

B.

840,000

C.

8,000,000

D.

9,700,000

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Total 89 questions