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Best Quality WorldatWork C1 Exam Questions
NEW QUESTION # 47
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?
- A. 500,000
- B. 9,700,000
- C. 840,000
- D. 8,000,000
Answer: B
NEW QUESTION # 48
Your company has had a strong fiscal year with a 15% increase in net income over the prior fiscal year. Share prices are at an all time high. Working with Finance, you have arrived at a 2.5% merit increase budget for the next fiscal year, a smaller increase than the last fiscal year. Finance has indicated that some large capital expenditures will be needed next year, so the company needs to conserve resources. Additionally, Legal is in final negotiations on a lawsuit that may be very costly to the company. Word of the smaller increases has line management concerned that they will lose their best performers. Given all of these factors, what is your best course of action?
- A. Meet with Finance and make a case for a larger merit increase budget because the loss of key talent will cost more over the long term than the savings from the smaller merit increases
- B. Gather the perspectives of all stakeholders, analyze their individual concerns and meet to determine whether a compromise solution is possible
- C. Implement the merit increase budget as is because the anticipated financial obligations have made it necessary
- D. Recommend a reduction in force to eliminate poor performers, which will increase the merit budget by reducing headcount
Answer: B
NEW QUESTION # 49
Which of the following might be an example of the influence of the Americans with Disabilities Act on compensation?
- A. Special promotion requirements must be developed for the disabled employee
- B. Job descriptions must be written to ensure they cover the critical functions of the job
- C. Companies must conduct pre-employment medical exams on all new employees
- D. Companies should determine pay based on physical skills
Answer: B
NEW QUESTION # 50
What is the top line or starting point of an organization's income?
- A. Operating profit
- B. Gross profit
- C. Revenue
- D. Net income
Answer: C
NEW QUESTION # 51
What information do EEO posters provide to employees?
- A. Laws and procedures for filing complaints
- B. Laws and rules for employee polygraph protection
- C. Employee rights under the H-2A Program
- D. Various federal minimum wage rules
Answer: A
NEW QUESTION # 52
To establish disparate treatment in violation of Title VII of the Civil Rights Act of 1964, an employee must prove that the employer intentionally maintains the pay disparity because the employee is a member of a protected class and which of the following?
- A. He or she is paid less than employees who are not members of the same protected group.
- B. The employer maintains a wage disparity between employees who do unequal, but comparable work.
- C. He or she receives a lower wage than a co-worker of the opposite sex.
Answer: A
NEW QUESTION # 53
What statement is most accurate regarding compensation communications with employees at varying levels?
- A. They tend to be fairly consistent because the elements of pay may differ, but the concerns are universal.
- B. They generally require a greater degree of detail for lower level employees who have less of an understanding of pay plan design.
- C. They should be kept to a minimum for employees at all levels to maximize efficiency and efforts can be focused only on those who have questions.
- D. They usually require more detail for senior employees regarding plan details and performance and the needs from one employee group to another can vary greatly.
Answer: D
NEW QUESTION # 54
When connecting with other business units, what best describes a reason why is it important to keep up to date on organizational challenges?
- A. Because you will be able to explain the negative consequences of opposing your position
- B. Because stakeholders with diverse opinions tend to compromise when they are aware that others know their weaknesses
- C. Because you will be more informed when differences of opinion occur, lending more credibility to your position
- D. Because you can demonstrate your understanding of issues from multiple perspectives
Answer: D
NEW QUESTION # 55
Which type of base pay is typically based on an individual employee's rate of production?
- A. Production rate
- B. Hourly rate
- C. Salary
- D. Piece rate
Answer: D
NEW QUESTION # 56
When would an employee most likely receive a differential in addition to the regular hourly rate?
- A. When working in more than one department
- B. When working less time than his or her normal schedule
- C. When working in locations other than the corporate office
- D. When working a holiday or weekend
Answer: D
NEW QUESTION # 57
What is one reason that it is important to perform a periodic audit of processes and results?
- A. It builds in a process of continuous improvement
- B. It is required in determining increase budgets
- C. It determines what information and data sources will be used in the audit
- D. It is required by the Department of Labor
Answer: A
NEW QUESTION # 58
Which of the following is the best example of applying business acumen to data analysis?
- A. Reviewing historical trends to complete annual budgets
- B. Providing quarterly incentive estimates for accruals
- C. Compiling data needed to calculate salary budgets and merit increases
- D. Identifying trends and key messages emerging over time
Answer: D
NEW QUESTION # 59
Which of the following is appropriate when an employee is required by the employer to attend training as a condition of employment?
- A. Appropriate study time does not count as hours worked regardless of the educational level of the training program.
- B. Only educational programs focused on remedial education (up to eighth grade) can be excluded from the 40-hr criteria for time and a half.
- C. No training time is considered hours worked even if it is a condition of employment, since the employee is free to leave the company.
- D. Even when the training is required, as long as the classes are outside working time and not on company property, they are not hours worked.
Answer: B
NEW QUESTION # 60
How does the Fair Labor Standards Act require employers to pay their nonexempt employees?
- 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
Answer: B
NEW QUESTION # 61
Employer-sponsored death benefits are most commonly based on which of the following?
- A. The employee's health history
- B. The employee's annual salary
- C. The employee's premium contributions
- D. The size of the employee's family
Answer: B
NEW QUESTION # 62
Which of the following statements best describes defined contribution (DC) plans?
- A. They require complex actuarial calculations and assumptions.
- B. They generally provide better benefits to employees with longer service.
- C. The employee assumes the risk for the investments.
- D. The benefit is based on a formula that considers pay and service.
Answer: C
NEW QUESTION # 63
What was the Bennett Amendment intended to do?
- A. Make it easier to enforce the Equal Pay Act
- B. Eliminate the potential conflict between Title VII and EPA
- C. Make the regulations covered under Title VII of the Civil Rights Act of 1964 more strict
- D. Prohibit gender-based discrimination
Answer: B
NEW QUESTION # 64
The concept of bona fide occupational qualifications has most direct relevance to which of the following components of employee compensation programs?
- A. Performance evaluations
- B. Salary surveys
- C. Job specifications
- D. Job descriptions
Answer: C
NEW QUESTION # 65
Which of the following agencies enforces the FLSA?
- A. National Labor Relations Board
- B. Department of Labor
- C. Office of Federal Contract Compliance Programs
- D. Equal Employment Opportunity Commission
Answer: B
NEW QUESTION # 66
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