SHRM CP EXAM WITH VERIFIED
QUESTIONS AND ANSWERS
2025/2026
Career Planning - Correct Answers-Actions & activities that individuals perform in order to give direction
to their work lives.
Brain drain - Correct Answers-Exit of educated & skilled citizens from emerging & developing countries
for better paying jobs in developed countries.
Auditory learners - Correct Answers-People who learn best by relying on their sense of hearing.
Andragogy - Correct Answers-Study of how adults learn.
Cost-of-living adjustment (COLA) - Correct Answers-Pay adjustment given to eligible employees
regardless of performance or organizational profitability; usually linked to inflation.
Compa-ratio - Correct Answers-Pay rate divided by the midpoint of the pay range.
Broadbanding - Correct Answers-Combining several salary grades or job classifications with narrow pay
ranges unto one brand with a wider salary spread.
Behavioral interview - Correct Answers-Type of interview that focuses on how applicants previously
handled real situations.
Applicant tracking software (ATS) - Correct Answers-Software that provides an automated way for
organizations to manage the recruiting process.
,Developmental activities - Correct Answers-Activities that focus on preparing employees for future
responsibilities while increasing their capacity to perform their current jobs.
Compensation - Correct Answers-All financial returns (beyond any benefits payments or services),
including salary and allowances.
Career development - Correct Answers-Process by which employees progress through a series of stages
in their careers, each of which is characterized by relatively unique, themes, and tasks.
Benefits - Correct Answers-Payments or services provided to employees to cover issues such as
retirement, health care, sick pay/disability schemes, life insurance, and paid time off.
Apprenticeship - Correct Answers-Related to technical skills training; often a partnership between
employers and unions.
Competency-based interview - Correct Answers-Type of interview in which the interviewer asks
questions related to competencies for the position and asks candidates to provide examples of times
they demonstrated the competencies.
ADDIE model - Correct Answers-5 step instructional design process that governs the development of
learning programs.
Assessment centers - Correct Answers-Assessment tools that provide candidates a wide range of
leadership situations and problem-solving exercises.
Blended learning - Correct Answers-Planned approach to learning that included a combination of
instructor-led training, self-directed study, and /or on-the-job training.
Career management - Correct Answers-Preparing, implementing, and monitoring employees' career
paths, with a primary focus on the goals and needs of the organization.
,Competencies - Correct Answers-Clusters of highly interrelated attributes, including knowledge, skills, or
abilities (KSA) that give rise to the behaviors needed to perform a given job effectively.
Strategy - Correct Answers-A plan of action for accomplishing an organization's long-range goals.
SWOT analysis - Correct Answers-Process for assessing an organization's strategic capabilities in
comparison to threats and opportunities identified during environmental scanning.
Value drivers - Correct Answers-Actions, processes, or results that are needed to deliver a desired value.
Vision statement - Correct Answers-Vivid, guiding image of an organization's desired future, the future it
hopes to attain through its strategy.
Organizational values - Correct Answers-Beliefs that are important to an organization and often dictate
employee behavior.
Strategic fit - Correct Answers-A state in which an organization's strategy is consistent with its external
opportunities and circumstances and its internal structure, resources, and capabilities.
Strategic management - Correct Answers-The actions that leaders take to move their organizations
toward those goals and create value for all stakeholders.
Strategic planning - Correct Answers-The process of setting goals and designing a path toward a
competitive position.
Metrics - Correct Answers-Performance parameters based on the relationship between 2 or more
measures.
, Mission statement - Correct Answers-Statement that specifies what activities an organization intends to
pursue and what course management has carted for the future; a concise statement of its strategy.
Net profit margin - Correct Answers-Ratio of net income (gross sales minus expenses and taxes) to net
sales.
Organizational culture - Correct Answers-The basic beliefs and customs shared by members of an
organization that contribute to an organization's sense of its identity.
Income statement - Correct Answers-Statement that reports revenues, expenses, and net income
(profit) for a specified period.
Lagging indicator - Correct Answers-Type of metric that describes an activity that has already occurred.
Leading indicator - Correct Answers-Type of metric that describes an activity that can change future
performance and indicate higher degree of success in achieving strategic goals.
Liabilities - Correct Answers-Organization's debts and other financial obligations.
Due diligence - Correct Answers-Necessary level of care and attention that is taken to investigate an
action before it is taken.
Environmental scanning - Correct Answers-Process that involves a systematic survey and interpretation
of relevant data to identify external opportunities and threats and to assess how these factors affect the
organization currently and how they are likely to affect the organization in the future.
Equity - Correct Answers-Amount of owners' or shareholders' portion of a business.
Gross profit margin - Correct Answers-Ratio of gross profit to net sales.
QUESTIONS AND ANSWERS
2025/2026
Career Planning - Correct Answers-Actions & activities that individuals perform in order to give direction
to their work lives.
Brain drain - Correct Answers-Exit of educated & skilled citizens from emerging & developing countries
for better paying jobs in developed countries.
Auditory learners - Correct Answers-People who learn best by relying on their sense of hearing.
Andragogy - Correct Answers-Study of how adults learn.
Cost-of-living adjustment (COLA) - Correct Answers-Pay adjustment given to eligible employees
regardless of performance or organizational profitability; usually linked to inflation.
Compa-ratio - Correct Answers-Pay rate divided by the midpoint of the pay range.
Broadbanding - Correct Answers-Combining several salary grades or job classifications with narrow pay
ranges unto one brand with a wider salary spread.
Behavioral interview - Correct Answers-Type of interview that focuses on how applicants previously
handled real situations.
Applicant tracking software (ATS) - Correct Answers-Software that provides an automated way for
organizations to manage the recruiting process.
,Developmental activities - Correct Answers-Activities that focus on preparing employees for future
responsibilities while increasing their capacity to perform their current jobs.
Compensation - Correct Answers-All financial returns (beyond any benefits payments or services),
including salary and allowances.
Career development - Correct Answers-Process by which employees progress through a series of stages
in their careers, each of which is characterized by relatively unique, themes, and tasks.
Benefits - Correct Answers-Payments or services provided to employees to cover issues such as
retirement, health care, sick pay/disability schemes, life insurance, and paid time off.
Apprenticeship - Correct Answers-Related to technical skills training; often a partnership between
employers and unions.
Competency-based interview - Correct Answers-Type of interview in which the interviewer asks
questions related to competencies for the position and asks candidates to provide examples of times
they demonstrated the competencies.
ADDIE model - Correct Answers-5 step instructional design process that governs the development of
learning programs.
Assessment centers - Correct Answers-Assessment tools that provide candidates a wide range of
leadership situations and problem-solving exercises.
Blended learning - Correct Answers-Planned approach to learning that included a combination of
instructor-led training, self-directed study, and /or on-the-job training.
Career management - Correct Answers-Preparing, implementing, and monitoring employees' career
paths, with a primary focus on the goals and needs of the organization.
,Competencies - Correct Answers-Clusters of highly interrelated attributes, including knowledge, skills, or
abilities (KSA) that give rise to the behaviors needed to perform a given job effectively.
Strategy - Correct Answers-A plan of action for accomplishing an organization's long-range goals.
SWOT analysis - Correct Answers-Process for assessing an organization's strategic capabilities in
comparison to threats and opportunities identified during environmental scanning.
Value drivers - Correct Answers-Actions, processes, or results that are needed to deliver a desired value.
Vision statement - Correct Answers-Vivid, guiding image of an organization's desired future, the future it
hopes to attain through its strategy.
Organizational values - Correct Answers-Beliefs that are important to an organization and often dictate
employee behavior.
Strategic fit - Correct Answers-A state in which an organization's strategy is consistent with its external
opportunities and circumstances and its internal structure, resources, and capabilities.
Strategic management - Correct Answers-The actions that leaders take to move their organizations
toward those goals and create value for all stakeholders.
Strategic planning - Correct Answers-The process of setting goals and designing a path toward a
competitive position.
Metrics - Correct Answers-Performance parameters based on the relationship between 2 or more
measures.
, Mission statement - Correct Answers-Statement that specifies what activities an organization intends to
pursue and what course management has carted for the future; a concise statement of its strategy.
Net profit margin - Correct Answers-Ratio of net income (gross sales minus expenses and taxes) to net
sales.
Organizational culture - Correct Answers-The basic beliefs and customs shared by members of an
organization that contribute to an organization's sense of its identity.
Income statement - Correct Answers-Statement that reports revenues, expenses, and net income
(profit) for a specified period.
Lagging indicator - Correct Answers-Type of metric that describes an activity that has already occurred.
Leading indicator - Correct Answers-Type of metric that describes an activity that can change future
performance and indicate higher degree of success in achieving strategic goals.
Liabilities - Correct Answers-Organization's debts and other financial obligations.
Due diligence - Correct Answers-Necessary level of care and attention that is taken to investigate an
action before it is taken.
Environmental scanning - Correct Answers-Process that involves a systematic survey and interpretation
of relevant data to identify external opportunities and threats and to assess how these factors affect the
organization currently and how they are likely to affect the organization in the future.
Equity - Correct Answers-Amount of owners' or shareholders' portion of a business.
Gross profit margin - Correct Answers-Ratio of gross profit to net sales.
