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Oracle Fusion HCM: Compensation 2014 Essentials Sample Questions:

1. Your client is a consumer goods wholesaler. The client's organization has five departments.
While performing compensation budgeting activity, the client has a policy that the departments that have exceeded their sales targets receive an additional budget to reward the employees to that department. In the current year, only the Electronics department has exceeded its sales target.
How would the compensation manager allocate the extra budget to the manager of the Electronics Department?

A) Initiate budgets automatically by using the Start Compensation Cycle process.
B) Request excess budget allocation from the manager above him.
C) Create a separate compensation plan for Electronics department employees and publish the extra budget to the manager of the department.
D) Publish the original budget to all managers, followed by publishing the extra budget to only the manager of the Electronics department.

2. A corporation started giving performance bonuses to eligible employees on a monthly basis. As a compensation administrator, you are required to display performance bonuses with similar or related compensation items.
How will you configure this requirement in the Fusion application?

A) Attach performance bonuses to similar compensation categories/subcategories.
B) Attach performance bonuses to similar sources.
C) Attach performance bonuses to similar compensation items.
D) Attach performance bonuses to similar elements.

3. Your client's compensation plan for employees includes a component that is based on years of service in the organization. If a person completes 10 years in the company, he or she will be eligible for a seniority component and the associated fixed salary amount. What type of eligibility profile you would need to create in order to track work experience of people?

A) Derived-factor-based eligibility criteria using length of service
B) User-defined-criteria-based eligibility profile using hire date
C) Employment-based-eligibility-criteria using length of service
D) Employment-based eligibility criteria using hire date

4. As an implementation consultant, you have defined a total compensation statement. You have defined three compensation items (a new hire bonus, a profit sharing bonus, and a quarterly bonus), which are attached to the bonus category. You no longer need the quarterly bonus item but you are unable to delete it.
Which statement is true for the given scenario?

A) Before deleting the item, you must configure a zero value behavior for the item.
B) The above scenario does not stand true as the item can be deleted.
C) More than one administrator might be using the item and, therefore, it cannot be deleted.
D) The item cannot be deleted, because it is attached to a category.

5. Which five tasks can be performed by a compensation manager?

A) Analyze proposed changes for equity among peer groups and by manager, alignment with the market, and pay for performance strategies.
B) Determine compensation amounts offline by downloading details to a spreadsheet.
C) Generate company-configured compensation change statements to notify workers of a compensation award, job change, or performance rating assignment.
D) Allocate compensation.
E) Review and approve work of Superior Manager.
F) Promote and rate worker performance while allocating compensation.

Solutions: