WGU C202 MANAGING HUMAN CAPITAL 2023-2024 FINAL OA EXAM 200 QUESTIONS AND CORRECT
ANSWERS
Direct financial compensation - (answer) compensation received in the form of salary, wages,
commissions, stock options or bonuses
indirect financial compensation - (answer) all the tangible and financially valued rewards that are not
included in direct compensation including free meals, vacation time and health insurance
nonfinancial compensation - (answer) rewards and incentives given to employees that aren't financial
in nature
base pay - (answer) reflects the size and scope of an employee's responsibilities
severance pay - (answer) give to employees upon termination of their employment
fixed pay - (answer) pays employees a set amount regardless of performance
variable pay - (answer) bases some or all of an employee's compensation on employee, team, or
organizational
pay structure - (answer) the array of pay rates for different work or skills within a single organization
pay mix - (answer) the relative emphasis give to different compensation components
pay leader - (answer) organization with a compensation policy of giving employees greater rewards
than competitors
pay follower - (answer) an organization that pays its front-line employees as little as possible
resource dependence theory - (answer) proposition that organizational decisions are influenced by
both internal and external agents who control critical resources
,WGU C202 MANAGING HUMAN CAPITAL 2023-2024 FINAL OA EXAM 200 QUESTIONS AND CORRECT
ANSWERS
wage differentials - (answer) differences in wage between various workers, groups of workers, or
workers within a career field
labor market - (answer) all of the potential employees located within a geographic area from which
the organization might be able to hire
cost of living allowances - (answer) clauses in union contacts that automatically increase wages base
on the U.S. Bureau of Labor Statistics' cost of living index
market pricing - (answer) uses external sources of information about how others are compensating a
certain position to assign value to a company's similar job
Compensation surveys - (answer) surveys of other organizations conducted to learn what they are
paying for specific jobs or job classes
benchmark jobs - (answer) jobs that tend to exist across departments and across diverse organizations
allowing them to be used as a basis for compensation comparisons
job evaluation - (answer) a systematic process that uses expert judgement to assess differences in
value between jobs
ranking methos - (answer) subjectively compares jobs to each other based on their overall worth to
the organization
job classification method - (answer) subjectively classifies jobs into an exiting hierarchy of grades and
categories
point factor method - (answer) uses a set of compensable factors to determine a job's value. skill, resp,
effort, working cond.
compensable factor - (answer) any characteristic used to provide a basis for judging a job's value
,WGU C202 MANAGING HUMAN CAPITAL 2023-2024 FINAL OA EXAM 200 QUESTIONS AND CORRECT
ANSWERS
skills, responsibilities, effort, working conditions - (answer) Four categories of compensable factors
Hay Group Guide Chart - Profile Method - (answer) a point-factor system is used to produce both a
profile and a point score for each position.
know how
problem solving
accountability
working conditions
Know-how, problem solving, accountability, working conditions - (answer) Hay Group Method based
on four main factors
Position Analysis Questionnaire - (answer) a structured job evaluation questionnaire that is statistically
analyzed to calculate pay rates based on how the labor market is valuing worker characteristics. a
copyrighted, standardized, structured job analysis questionnaire. 6 sections covering 187 job elements.
job pricing - (answer) the generation of salary structures and pay levels for each job based on the job
evaluation data
single rate system, pay grades and broadbanding - (answer) Three most common job pricing systems
pay grade (pay scale) - (answer) the range of possible pay for a group of jobs
broadbanding - (answer) using very wide pay grades to increase pay flexibility
internal equity - (answer) when employees perceive their pay to be fair relative to the pay of other
jobs in the organization
, WGU C202 MANAGING HUMAN CAPITAL 2023-2024 FINAL OA EXAM 200 QUESTIONS AND CORRECT
ANSWERS
employee equity - (answer) the perceived fairness of the relative pay between employees performing
similar jobs for the same organization
external equity - (answer) when an organization's employees believe that their pay is fair when
compared to what other employers pay their employees who perform similar jobs
comparable worth - (answer) if two jobs have equal difficulty requirements, the pay should be the
same, regardless of who fills them
wage rate compression - (answer) starting salaries for new hires exceed the salaries paid to
experienced employees
golden parachute - (answer) lucrative benefits given to executives in the event the company is taken
over
Cost-of-living adjustments - (answer) pay increases to account for a higher cost of living in one country
versus another
Housing allowance - (answer) payments to subsidize or cover housing and related costs
hardship premiums - (answer) increased salary for living in an area with a lower quality of life, less
safety, etc.
tax equalization payments - (answer) increased salary to make up for higher taxes that reduce take-
home pay and decrease employee's purchasing power
inflation adjustments - (answer) larger and/or more frequent raises to maintain employee's purchasing
power in the face of inflation
Fair Labor Standards Act of 1938 - (answer) a federal law that sets standards for minimum wages,
overtime pay, and equal pay for men and women performing the same jobs
ANSWERS
Direct financial compensation - (answer) compensation received in the form of salary, wages,
commissions, stock options or bonuses
indirect financial compensation - (answer) all the tangible and financially valued rewards that are not
included in direct compensation including free meals, vacation time and health insurance
nonfinancial compensation - (answer) rewards and incentives given to employees that aren't financial
in nature
base pay - (answer) reflects the size and scope of an employee's responsibilities
severance pay - (answer) give to employees upon termination of their employment
fixed pay - (answer) pays employees a set amount regardless of performance
variable pay - (answer) bases some or all of an employee's compensation on employee, team, or
organizational
pay structure - (answer) the array of pay rates for different work or skills within a single organization
pay mix - (answer) the relative emphasis give to different compensation components
pay leader - (answer) organization with a compensation policy of giving employees greater rewards
than competitors
pay follower - (answer) an organization that pays its front-line employees as little as possible
resource dependence theory - (answer) proposition that organizational decisions are influenced by
both internal and external agents who control critical resources
,WGU C202 MANAGING HUMAN CAPITAL 2023-2024 FINAL OA EXAM 200 QUESTIONS AND CORRECT
ANSWERS
wage differentials - (answer) differences in wage between various workers, groups of workers, or
workers within a career field
labor market - (answer) all of the potential employees located within a geographic area from which
the organization might be able to hire
cost of living allowances - (answer) clauses in union contacts that automatically increase wages base
on the U.S. Bureau of Labor Statistics' cost of living index
market pricing - (answer) uses external sources of information about how others are compensating a
certain position to assign value to a company's similar job
Compensation surveys - (answer) surveys of other organizations conducted to learn what they are
paying for specific jobs or job classes
benchmark jobs - (answer) jobs that tend to exist across departments and across diverse organizations
allowing them to be used as a basis for compensation comparisons
job evaluation - (answer) a systematic process that uses expert judgement to assess differences in
value between jobs
ranking methos - (answer) subjectively compares jobs to each other based on their overall worth to
the organization
job classification method - (answer) subjectively classifies jobs into an exiting hierarchy of grades and
categories
point factor method - (answer) uses a set of compensable factors to determine a job's value. skill, resp,
effort, working cond.
compensable factor - (answer) any characteristic used to provide a basis for judging a job's value
,WGU C202 MANAGING HUMAN CAPITAL 2023-2024 FINAL OA EXAM 200 QUESTIONS AND CORRECT
ANSWERS
skills, responsibilities, effort, working conditions - (answer) Four categories of compensable factors
Hay Group Guide Chart - Profile Method - (answer) a point-factor system is used to produce both a
profile and a point score for each position.
know how
problem solving
accountability
working conditions
Know-how, problem solving, accountability, working conditions - (answer) Hay Group Method based
on four main factors
Position Analysis Questionnaire - (answer) a structured job evaluation questionnaire that is statistically
analyzed to calculate pay rates based on how the labor market is valuing worker characteristics. a
copyrighted, standardized, structured job analysis questionnaire. 6 sections covering 187 job elements.
job pricing - (answer) the generation of salary structures and pay levels for each job based on the job
evaluation data
single rate system, pay grades and broadbanding - (answer) Three most common job pricing systems
pay grade (pay scale) - (answer) the range of possible pay for a group of jobs
broadbanding - (answer) using very wide pay grades to increase pay flexibility
internal equity - (answer) when employees perceive their pay to be fair relative to the pay of other
jobs in the organization
, WGU C202 MANAGING HUMAN CAPITAL 2023-2024 FINAL OA EXAM 200 QUESTIONS AND CORRECT
ANSWERS
employee equity - (answer) the perceived fairness of the relative pay between employees performing
similar jobs for the same organization
external equity - (answer) when an organization's employees believe that their pay is fair when
compared to what other employers pay their employees who perform similar jobs
comparable worth - (answer) if two jobs have equal difficulty requirements, the pay should be the
same, regardless of who fills them
wage rate compression - (answer) starting salaries for new hires exceed the salaries paid to
experienced employees
golden parachute - (answer) lucrative benefits given to executives in the event the company is taken
over
Cost-of-living adjustments - (answer) pay increases to account for a higher cost of living in one country
versus another
Housing allowance - (answer) payments to subsidize or cover housing and related costs
hardship premiums - (answer) increased salary for living in an area with a lower quality of life, less
safety, etc.
tax equalization payments - (answer) increased salary to make up for higher taxes that reduce take-
home pay and decrease employee's purchasing power
inflation adjustments - (answer) larger and/or more frequent raises to maintain employee's purchasing
power in the face of inflation
Fair Labor Standards Act of 1938 - (answer) a federal law that sets standards for minimum wages,
overtime pay, and equal pay for men and women performing the same jobs
