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WorldatWork C1 Exam Syllabus Topics:

WorldatWork Regulatory Environments for Compensation Programs Sample Questions:

1. What happens to the marginal cost if revenue accelerates slower than variable costs but fixed costs remain the same?

A) It increases at the same rate as variable costs.
B) It becomes increasingly higher as revenues increase.
C) It remains the same.
D) It decreases because variable costs are increasing.

2. Which statement is most accurate regarding the effect of taxation on the benefits that employers offer?

A) Taxation is the primary reason that employers offer benefits; in the absence of tax incentives, employers would be unlikely to offer them.
B) Taxation has no effect on employee benefits; employers offer benefits for competitive reasons only.
C) Taxation affects the level of benefits offered, the source of benefits and the employer/employee cost- sharing basis.

3. Which of the following acts is focused on employers with service contracts with the government?

A) Sherman Antitrust Act
B) McNamara-O'Hara Act
C) National Labor Relations Act
D) Davis-Bacon Act

4. Which of the following is typically considered a health care benefit?

A) Vision plan
B) Death benefits
C) Defined benefit plan
D) Defined contribution plan

5. What statement is most accurate regarding compensation communications with employees at varying levels?

A) They generally require a greater degree of detail for lower level employees who have less of an understanding of pay plan design.
B) 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.
C) They tend to be fairly consistent because the elements of pay may differ, but the concerns are universal.
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.

Solutions: