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Certified Compensation Professional (CCP) C8 So they are dependable.
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C8 PDF DEMO:
QUESTION NO: 1
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. 840,000
C. 8,000,000
D. 9,700,000
Answer: D
QUESTION NO: 2
What is the primary reason why a compensation professional working for a multinational company should understand regulatory requirements and application of rewards globally?
A. Because legal compliance with compensation-related regulations is the responsibility of the compensation department
B. Because the compensation professional has a fiduciary responsibility to ensure that the financial resources of their organization are spent in a prudent manner
C. Because it is possible to pay significantly less for talent in different countries and compensation should advise management on when and where to locate various jobs within the company
D. They shouldn't. Due to the complexities of global regulations and practices, compensation administration outside of the home country should be outsourced.
Answer: B
QUESTION NO: 3
What information is found on the balance sheet?
A. A list of what is owned, what is owed and the equity of an entity
B. The revenues and expenses incurred by an entity over a period of time
C. The change during the reporting period in cash and cash equivalents
D. The profitability of the company as of a specific date
Answer: A
QUESTION NO: 4
Which of the following best describes present value?
A. The current value of holdings
B. The current value of holdings and how much it will grow over time at a given rate of return
C. The desired value in the future and what needs to be invested today to realize that amount
D. The difference between the desired value in the future and the current value as a percentage of the desired value
Answer: C
QUESTION NO: 5
Regarding compensation communications with executives, where do they tend to need the greatest level of understanding?
A. In the methods and processes used to make pay decisions
B. In the details of their individual compensation packages
C. In the overall program objectives
D. In the differences in pay levels for the different levels of the organization
Answer: C
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Updated: May 26, 2022