WorldatWork WC-C8 Online Practice Questions and Exam Preparation

WorldatWork WC-C8 Online Questions & Answers

• Question 31:

  The XYZ Company focuses on maintaining/increasing market share and its products tend to be more evolutionary than revolutionary. What stage of the business lifecycle is XYZ most likely in?

  A. Start-up
  B. Growth
  C. Mature
  D. Decline
  C. Mature

• Question 32:

  What choices are most commonly faced by companies in the decline phase of the business lifecycle?

  A. Whether to improve productivity, obtain new operating capital or generate new sales growth
  B. Whether to reinvest in existing products, create new products or maximize profits with current products as long as possible
  C. Whether to acquire competitors with greater market share or merge with more successful companies
  D. Whether to increase sales, maximize distribution capacity or increase efficiency to meet growing demand
  B. Whether to reinvest in existing products, create new products or maximize profits with current products as long as possible

• Question 33:

  Quarterly financial reports typically include data for a given quarter compared to what?

  A. The previous quarter
  B. The budget
  C. The same quarter in the previous year, plus the current six-month or nine-month cumulative comparables
  D. The aggregate performance of the same quarter in the previous three years
  C. The same quarter in the previous year, plus the current six-month or nine-month cumulative comparables

• Question 34:

  The Alpha Company was once a strong company that commanded a high percentage of the market it operated in. In recent years, Alpha has been losing market share to competitors in its primary line of business and has been unable to find a competitive strategy to grow and return to profitability. Given its market position, how is Alpha most likely finding the monetary resources to continue operations?

  A. By using cash from other segments of the business
  B. By using its high credit rating from prior years to receive a line of credit until the strategy begins to work
  C. By selling its products and services at a loss until revenue increases and slowly raising prices until it begins to break even
  D. By identifying and duplicating the strategy used by its main competitor.
  A. By using cash from other segments of the business

• Question 35:

  What is a "profit model?"

  A. The intention or purpose of the business
  B. A descriptor for how the company works
  C. The financial objectives of the organization
  D. The plan for how the organization generates revenue and makes money
  D. The plan for how the organization generates revenue and makes money

• Question 36:

  What statement is most accurate regarding communication of compensation information?

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

• Question 37:

  As a general rule, what are individual contributors most likely to ask about their compensation?

  A. What the take-home pay will be
  B. How their pay compares to co-workers
  C. How the company sets compensation budgets
  D. How the company makes pay decisions that affect them
  D. How the company makes pay decisions that affect them

• Question 38:

  What best describes the most effective approach for facilitating fact-based decisions?

  A. Ensuring support from all internal and external stakeholders
  B. Estimating results based on historical data
  C. Using statistical methods to predict outcomes
  D. Determining, sourcing and collecting appropriate data
  D. Determining, sourcing and collecting appropriate data

• Question 39:

  What best describes a key competency of compensation professionals regarding HR management of the organization's employees?

  A. Ensuring they are appropriately selected, developed, appraised and rewarded
  B. Monitoring individual employee career paths and succession planning
  C. Communicating regularly with line management on performance management
  D. Ensuring that all regulatory and voluntary payroll deductions are properly administered
  A. Ensuring they are appropriately selected, developed, appraised and rewarded

• Question 40:

  Administering budgets is an example of what key competency for compensation professionals?

  A. Financial Management
  B. HR Management
  C. Resource Management
  D. Policy Management
  A. Financial Management