WorldatWork Certified Executive Compensation Professional - CECP Free Exam Questions

A. Making choices about spending based on expectations of performance

B. Increasing profitability of the business annually to maximize shareholder/owner value

C. Limiting spending to a fixed percentage of organizational revenue

D. Complying with local legislation and maintaining accurate records to prepare financial reports and tax documents

A. Stock/share options

B. Restricted stock/shares

C. Stock/share grants

D. Performance units

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

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

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

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

A. Select the best vendors

B. Reduce compensation expense

C. Improve program efficacy

D. Compensate employees competitively

A. Policy Management

B. Financial Management

C. Resource Management

D. HR Management

A. Why are we in business?

B. What direction will we take?

C. How do we work?

D. How will we achieve our objectives?

A. Benefits

B. Recognition

C. Compensation

D. Career opportunities

A. The difference between the desired value in the future and the current value as a percentage of the desired value

B. The current value of holdings and how much it will grow over time at a given rate of return

C. The current value of holdings

D. The desired value in the future and what needs to be invested today to realize that amount

A. To increase employee identification with the organization's success

B. To achieve organizational cost savings through base pay reductions

C. To reward individual employees for some significant contribution

D. To defer compensation expenses to future reporting periods

A. A written explanation of the intention or purpose of the organization and why it is in business

B. A description of who the organization is, where it is headed and what it wants for the future

C. A detailed account of the organization's goals, directions to achieve them and how it will compete

D. A statement of what kind of organization it wants to be and the guiding principles and/or beliefs shared by stakeholders