CEBS - GBA 1 - MODULE 1 EXAM BANK
2026/2027 QUESTIONS AND CORRECT
ANSWERS 2 VERSIONS CURRENTLY TESTING
COMPLETE QUESTIONS WITH DETAILED
VERIFIED ANSWERS /
CEBS - GBA 1 - MODULE 2 LATEST UPDATE
ALREADY GRADED A+
VERSION A
1.1 Distinguish between the broad view and the narrow view of employee
benefits - CORRECT ANSWER ✔✔- The broad view defines employee benefits as
anything other than direct compensation, including both government-mandated
benefits and private plans. (social security, pension plans etc.). The narrow view
holds that employee benefits are any benefit sponsored unilaterally or jointly by
employers and employees that is not subsidized by the government.
1.2 List the categories of benefits that generally are considered to fall under a
broad view employee benefits - CORRECT ANSWER ✔✔- • Legally required
benefits (Social Security)
• Payment for time not worked (rest, lunch, vacation, and holidays)
• Medical
• Retirement & savings plan payments
• Miscellaneous benefits (employee discounts, severance pay, education, and
child care)
Pg. 1
, 1.3 What benefits are typically excluded when the term "employee benefits" is
viewed and defined in a narrow sense? - CORRECT ANSWER ✔✔- Those that are
legally mandated (Social Security and workers' compensation)
2.1 Explain the types of businesses- or human resource-related reasons for firms
establishing employee benefit plans - CORRECT ANSWER ✔✔- So businesses may
attract & retain capable employees. Good benefit plans foster corporate
efficiency, productivity, and improve employee morale.
2.2 What impact have labor unions historically had in employee benefits? -
CORRECT ANSWER ✔✔- Through the practice of collective bargaining labor unions
have had an impact on the growth of employee benefit plans. In 1948 the NLRB
ruled in the Inland Steel case that the duty to bargain in good faith over wages
also included insurance and fringes such as pension benefits. Following that, in
the W.W. Cross & Co. case, the NLRB ruled that wages included health and
accident plan.
2.3 Explain the significance of the Taft-Hartley Act in employee benefit planning. -
CORRECT ANSWER ✔✔- The Labor-Management Relations Act, also called the
Taft-Hartley Act, sets forth the framework for good-faith collective bargaining
over wages, hours, conditions and terms of employment and employee benefits.
It established the distinction between retirement benefits and welfare benefits. It
also provides framework for administration of those benefits. It's the legal basis
on which jointly trusteed benefit plans are founded.
2.4 Summarize three major federal tax advantages associated with employee
benefit plans. - CORRECT ANSWER ✔✔- • Most contributions are deductible as
long as they are reasonable business expenses
• Within limits, the contributions are not considered income to employees
Pg. 2
2026/2027 QUESTIONS AND CORRECT
ANSWERS 2 VERSIONS CURRENTLY TESTING
COMPLETE QUESTIONS WITH DETAILED
VERIFIED ANSWERS /
CEBS - GBA 1 - MODULE 2 LATEST UPDATE
ALREADY GRADED A+
VERSION A
1.1 Distinguish between the broad view and the narrow view of employee
benefits - CORRECT ANSWER ✔✔- The broad view defines employee benefits as
anything other than direct compensation, including both government-mandated
benefits and private plans. (social security, pension plans etc.). The narrow view
holds that employee benefits are any benefit sponsored unilaterally or jointly by
employers and employees that is not subsidized by the government.
1.2 List the categories of benefits that generally are considered to fall under a
broad view employee benefits - CORRECT ANSWER ✔✔- • Legally required
benefits (Social Security)
• Payment for time not worked (rest, lunch, vacation, and holidays)
• Medical
• Retirement & savings plan payments
• Miscellaneous benefits (employee discounts, severance pay, education, and
child care)
Pg. 1
, 1.3 What benefits are typically excluded when the term "employee benefits" is
viewed and defined in a narrow sense? - CORRECT ANSWER ✔✔- Those that are
legally mandated (Social Security and workers' compensation)
2.1 Explain the types of businesses- or human resource-related reasons for firms
establishing employee benefit plans - CORRECT ANSWER ✔✔- So businesses may
attract & retain capable employees. Good benefit plans foster corporate
efficiency, productivity, and improve employee morale.
2.2 What impact have labor unions historically had in employee benefits? -
CORRECT ANSWER ✔✔- Through the practice of collective bargaining labor unions
have had an impact on the growth of employee benefit plans. In 1948 the NLRB
ruled in the Inland Steel case that the duty to bargain in good faith over wages
also included insurance and fringes such as pension benefits. Following that, in
the W.W. Cross & Co. case, the NLRB ruled that wages included health and
accident plan.
2.3 Explain the significance of the Taft-Hartley Act in employee benefit planning. -
CORRECT ANSWER ✔✔- The Labor-Management Relations Act, also called the
Taft-Hartley Act, sets forth the framework for good-faith collective bargaining
over wages, hours, conditions and terms of employment and employee benefits.
It established the distinction between retirement benefits and welfare benefits. It
also provides framework for administration of those benefits. It's the legal basis
on which jointly trusteed benefit plans are founded.
2.4 Summarize three major federal tax advantages associated with employee
benefit plans. - CORRECT ANSWER ✔✔- • Most contributions are deductible as
long as they are reasonable business expenses
• Within limits, the contributions are not considered income to employees
Pg. 2
