SHRM PRACTICE TEST QUESTIONS
WITH CORRECT ANSWERS 2025
WhatDcompanyDisDusingDaDcorporateDstrategyDofDdifferentiation?
A.DADcompanyDsellsDinDvolumeDandDoffersDdiscountsDtoDitsDbestDcustomers.
B.DTheDfinishedDproductDisDsoldDatDaDlowerDpriceDthanDthatDofDtheDcompetition.
C.DADcompanyDdevelopsDaDproductDthatDisDuniquelyDeasyDtoDuseDandDchargesDaDpremiumDprice.
D.DADcompanyDordersDlargeDquantitiesDofDpartsDtoDgetDtheDgreatestDdiscount.D-
DCORRECTDANSWERD-
C.DADcompanyDdevelopsDaDproductDthatDisDuniquelyDeasyDtoDuseDandDchargesDaDpremiumDprice.
DifferentiationDfocusesDonDsettingDaDproductDorDserviceDapartDbyDgivingDitDuniqueDcharacteristicsDt
hatDconsumersDvalueDandDforDwhichDtheyDwillDpayDaDpremium.DTheDotherDoptionsDdealDwithDwaysD
toDcreateDaDcostDadvantage.
WhatDtypeDofDlearnersDacquireDknowledgeDmostDeffectivelyDthroughDaDhands-onDapproach?
A.DSynthesisDlearners
B.DKinestheticDlearners
C.DVisualDlearners
D.DAuditoryDlearnersD-DCORRECTDANSWERD-B.DKinestheticDlearners
KinestheticDlearners,DalsoDknownDasDtactileDlearners,DlearnDbestDthroughDaDhands-
onDapproach.DTheyDpreferDtoDactivelyDexploreDtheDphysicalDworldDaroundDthem.DTheyDmayDfindDitD
hardDtoDsitDstillDforDlongDperiodsDandDmayDbecomeDdistractedDbyDtheirDneedDforDactivityDandDexplo
ration.
WhatDfinancialDdocumentDlistsDtheDrevenues,Dexpenses,DandDprofitsDofDanDorganizationDforDaDdesi
gnatedDperiodDofDtime?
A.DBalanceDsheet
,B.DIncomeDStatement
C.DFinancialDstatement
D.DAccountingDentriesD-DCORRECTDANSWERD-B.DIncomeDStatement
TheDincomeDstatementDshowsDrevenues,Dexpenses,DandDprofitsDforDtheDorganization.DTheDbalance
DsheetDshowsDitsDassets,Dliabilities,DandDshareholders'Dequity.
HowDcanDdataDanalyticsDbeDusedDtoDimproveDemployeeDrecruitmentDandDretention?
A.DPredictingDemployeeDpreferencesDandDaligningDHRDpracticesDaccordingly
B.DCommunicatingDbenefitsDofDemploymentDconsistently
C.DProtectingDemployeeDdataDagainstDinternalDandDexternalDsecurityDbreaches
D.DTrackingDandDcreatingDreportsDonDcomplianceDwithDproceduresD-DCORRECTDANSWERD-
A.DPredictingDemployeeDpreferencesDandDaligningDHRDpracticesDaccordingly
DataDanalyticsDcollectsDinformationDandDcanDanalyzeDitDtoDdetectDpatternsDandDpredictDemployeeD
needsDandDpreferences.DForDexample,DreportDofDanDincreaseDinDparentalDleavesDmayDcallDforDreexa
minationDandDrevisionDofDleaveDpoliciesDtoDattractDandDretainDemployees.DDataDanalyticsDisDnotDaDc
ommunicationDorDsecurityDtool.DItDcanDbeDusedDtoDanalyzeDcompliance,DbutDthisDisDnotDlikelyDtoDim
proveDemployeeDrecruitmentDandDretention.
ChainDofDcommandDrefersDtoDthe...
A.DextentDtoDwhichDpoliciesDandDproceduresDgovernDtheDrulesDofDtheDorganization.
B.DnumberDofDindividualsDwhoDreportDtoDaDsupervisor.
C.DlineDofDauthorityDwithinDanDorganization.
D.DbalanceDbetweenDstandardizationDandDlocalization.D-DCORRECTDANSWERD-
C.DlineDofDauthorityDwithinDanDorganization.
,ChainDofDcommandDrefersDtoDaDlineDofDauthorityDwithinDanDorganization.DAuthorityDrelatesDtoDtheD
scopeDofDresponsibilitiesDthatDdefineDtheDareaDinDwhichDaDmanagerDisDempoweredDtoDmakeDdecisi
ons.DItDisDgrowingDlessDdistinctDinDmanyDorganizationsDtoday.
AfterDconductingDaDreferenceDbackgroundDcheck,DHRDdiscoversDthatDaDleadingDcandidateDmisrepre
sentedDdatesDofDpreviousDemploymentDonDbothDtheDresumeDandDtheDjobDapplication.DWhatDisDthe
DmostDprobableDoutcomeDofDlearningDthisDinformation?
A.DCheckDcriminalDrecordsDforDfeloniesDorDmisdemeanors.
B.DConductDaDcreditDhistoryDcheckDwithDaDconsumerDreportingDagency.
C.DAskDforDreferencesDaboutDtheDemployee'sDprofessionalism.
D.DDoDnotDextendDanDofferDofDemployment.D-DCORRECTDANSWERD-
D.DDoDnotDextendDanDofferDofDemployment.
EveryDemployerDhasDaDlegalDdutyDtoDexerciseDdueDdiligenceDinDhiring.DInDcertainDcircumstances,DanD
employerDmayDgiveDtheDcandidateDtheDopportunityDtoDexplainDresultsDofDaDreferenceDbackgroundD
checkDthatDmightDhaveDanDadverseDeffectDonDanDemploymentDdecision.DHowever,DmostDjobDapplic
ationsDincludeDaDstatementDthatDsigningDtheDjobDapplicationDattestsDtoDtheDtruthfulnessDofDtheDinf
ormationDcontainedDinDtheDdocument.DSomeDemployersDevenDadviseDcandidatesDatDtheDonsetDofDt
heDapplicationDprocessDaboutDtheDpotentialDnegativeDconsequencesDofDprovidingDanyDfalseDorDinte
ntionallyDmisleadingDinformation.
AnDorganizationDconductsDaDpayDsurveyDandDfindsDthatDsomeDofDitsDkeyDemployeesDareDunderpaid.
DTheyDwantDtoDraiseDtheDpayDforDtheseDemployeesDbutDareDconcernedDaboutDaddingDtoDtheirDsalar
yDburden.DWhichDofDtheDfollowingDisDtheirDBESTDoption?
A.DIncentiveDpay
B.DStep-rateDadjustmentsDlinkedDtoDperformance
C.DMarket-basedDincreases
D.DCost-of-livingDadjustmentsD-DCORRECTDANSWERD-A.DIncentiveDpay
, ByDdefinition,DincentiveDpayDisDpayingDforDperformanceDbeyondDnormalDexpectations.DEmployeesD
receiveDtheDincentiveDpayDonlyDifDspecificDgoalsDareDmet.DAsDlongDasDincentiveDpayDandDbaseDpayDar
eDnotDcommingled,DemployeesDshouldDperceiveDitDasDaDrewardD(andDnotDanDentitlement)DandDtheD
employerDwillDbenefitDfromDaDgreaterDreturnDonDinvestmentDforDperformanceDbeyondDnormalDexp
ectations.
WhatDisDtheDESSENTIALDconceptDbehindDtheDstakeholderDtheory?
A.DAnDorganizationDaffectsDandDisDaffectedDbyDcomplexDinterests.
B.DTrueDvalueDmustDbeDdeterminedDbyDtheDincreaseDinDaDfirm'sDnetDworth.
C.DOrganizationsDmustDseeDemployeesDasDpartnersDratherDthanDfoes.
D.DAllDstakeholdersDmustDreceiveDvalueDforDaDfirmDtoDbeDconsideredDsociallyDresponsible.D-
DCORRECTDANSWERD-A.DAnDorganizationDaffectsDandDisDaffectedDbyDcomplexDinterests.
TheDstakeholderDconceptDproposesDthatDanyDorganizationDoperatesDwithinDaDcomplexDenvironme
ntDinDwhichDitDaffectsDandDisDaffectedDbyDaDvarietyDofDforcesDorDstakeholders,DwhoDallDshareDinDtheD
valueDofDtheDorganizationDandDitsDactivities.
WhatDactionDreflectsDtheDrequirementsDofDdueDprocessDinDaDdisciplinaryDprocess?
A.DEnsuringDthatDdisciplinedDemployeesDhaveDaDchanceDtoDdefendDthemselves
B.DOfferingDmultipleDchancesDforDreformingDproblematicDbehaviorsDorDperformance
C.DRequiringDformalDlegalDreviewDbeforeDactionDisDtaken
D.DComplyingDwithDunionDcontractDrequirementsDforDhandlingDgrievancesD-DCORRECTDANSWERD-
A.DEnsuringDthatDdisciplinedDemployeesDhaveDaDchanceDtoDdefendDthemselves
DueDprocessDisDaDprincipleDthatDensuresDthatDemployeesDareDinformedDofDexpectationsDandDtheDco
nsequencesDofDfailureDtoDmeetDthoseDexpectations,DareDtreatedDfairlyDandDfactually,DandDareDallow
edDanDopportunityDtoDdefendDthemselvesDandDappealDtheDdecision.DTheDconceptDofDmultipleDchan
cesDrefersDtoDtheDprocessDofDprogressiveDdiscipline.DDueDprocessDisDnotDrestrictedDtoDunionizedDwo
rkplaces.DAnDattorney'sDreviewDmayDbeDadvisableDbutDisDnotDrequiredDtoDhaveDfulfilledDtheDobligati
onDofDprovidingDanDemployeeDwithDdueDprocess.
WITH CORRECT ANSWERS 2025
WhatDcompanyDisDusingDaDcorporateDstrategyDofDdifferentiation?
A.DADcompanyDsellsDinDvolumeDandDoffersDdiscountsDtoDitsDbestDcustomers.
B.DTheDfinishedDproductDisDsoldDatDaDlowerDpriceDthanDthatDofDtheDcompetition.
C.DADcompanyDdevelopsDaDproductDthatDisDuniquelyDeasyDtoDuseDandDchargesDaDpremiumDprice.
D.DADcompanyDordersDlargeDquantitiesDofDpartsDtoDgetDtheDgreatestDdiscount.D-
DCORRECTDANSWERD-
C.DADcompanyDdevelopsDaDproductDthatDisDuniquelyDeasyDtoDuseDandDchargesDaDpremiumDprice.
DifferentiationDfocusesDonDsettingDaDproductDorDserviceDapartDbyDgivingDitDuniqueDcharacteristicsDt
hatDconsumersDvalueDandDforDwhichDtheyDwillDpayDaDpremium.DTheDotherDoptionsDdealDwithDwaysD
toDcreateDaDcostDadvantage.
WhatDtypeDofDlearnersDacquireDknowledgeDmostDeffectivelyDthroughDaDhands-onDapproach?
A.DSynthesisDlearners
B.DKinestheticDlearners
C.DVisualDlearners
D.DAuditoryDlearnersD-DCORRECTDANSWERD-B.DKinestheticDlearners
KinestheticDlearners,DalsoDknownDasDtactileDlearners,DlearnDbestDthroughDaDhands-
onDapproach.DTheyDpreferDtoDactivelyDexploreDtheDphysicalDworldDaroundDthem.DTheyDmayDfindDitD
hardDtoDsitDstillDforDlongDperiodsDandDmayDbecomeDdistractedDbyDtheirDneedDforDactivityDandDexplo
ration.
WhatDfinancialDdocumentDlistsDtheDrevenues,Dexpenses,DandDprofitsDofDanDorganizationDforDaDdesi
gnatedDperiodDofDtime?
A.DBalanceDsheet
,B.DIncomeDStatement
C.DFinancialDstatement
D.DAccountingDentriesD-DCORRECTDANSWERD-B.DIncomeDStatement
TheDincomeDstatementDshowsDrevenues,Dexpenses,DandDprofitsDforDtheDorganization.DTheDbalance
DsheetDshowsDitsDassets,Dliabilities,DandDshareholders'Dequity.
HowDcanDdataDanalyticsDbeDusedDtoDimproveDemployeeDrecruitmentDandDretention?
A.DPredictingDemployeeDpreferencesDandDaligningDHRDpracticesDaccordingly
B.DCommunicatingDbenefitsDofDemploymentDconsistently
C.DProtectingDemployeeDdataDagainstDinternalDandDexternalDsecurityDbreaches
D.DTrackingDandDcreatingDreportsDonDcomplianceDwithDproceduresD-DCORRECTDANSWERD-
A.DPredictingDemployeeDpreferencesDandDaligningDHRDpracticesDaccordingly
DataDanalyticsDcollectsDinformationDandDcanDanalyzeDitDtoDdetectDpatternsDandDpredictDemployeeD
needsDandDpreferences.DForDexample,DreportDofDanDincreaseDinDparentalDleavesDmayDcallDforDreexa
minationDandDrevisionDofDleaveDpoliciesDtoDattractDandDretainDemployees.DDataDanalyticsDisDnotDaDc
ommunicationDorDsecurityDtool.DItDcanDbeDusedDtoDanalyzeDcompliance,DbutDthisDisDnotDlikelyDtoDim
proveDemployeeDrecruitmentDandDretention.
ChainDofDcommandDrefersDtoDthe...
A.DextentDtoDwhichDpoliciesDandDproceduresDgovernDtheDrulesDofDtheDorganization.
B.DnumberDofDindividualsDwhoDreportDtoDaDsupervisor.
C.DlineDofDauthorityDwithinDanDorganization.
D.DbalanceDbetweenDstandardizationDandDlocalization.D-DCORRECTDANSWERD-
C.DlineDofDauthorityDwithinDanDorganization.
,ChainDofDcommandDrefersDtoDaDlineDofDauthorityDwithinDanDorganization.DAuthorityDrelatesDtoDtheD
scopeDofDresponsibilitiesDthatDdefineDtheDareaDinDwhichDaDmanagerDisDempoweredDtoDmakeDdecisi
ons.DItDisDgrowingDlessDdistinctDinDmanyDorganizationsDtoday.
AfterDconductingDaDreferenceDbackgroundDcheck,DHRDdiscoversDthatDaDleadingDcandidateDmisrepre
sentedDdatesDofDpreviousDemploymentDonDbothDtheDresumeDandDtheDjobDapplication.DWhatDisDthe
DmostDprobableDoutcomeDofDlearningDthisDinformation?
A.DCheckDcriminalDrecordsDforDfeloniesDorDmisdemeanors.
B.DConductDaDcreditDhistoryDcheckDwithDaDconsumerDreportingDagency.
C.DAskDforDreferencesDaboutDtheDemployee'sDprofessionalism.
D.DDoDnotDextendDanDofferDofDemployment.D-DCORRECTDANSWERD-
D.DDoDnotDextendDanDofferDofDemployment.
EveryDemployerDhasDaDlegalDdutyDtoDexerciseDdueDdiligenceDinDhiring.DInDcertainDcircumstances,DanD
employerDmayDgiveDtheDcandidateDtheDopportunityDtoDexplainDresultsDofDaDreferenceDbackgroundD
checkDthatDmightDhaveDanDadverseDeffectDonDanDemploymentDdecision.DHowever,DmostDjobDapplic
ationsDincludeDaDstatementDthatDsigningDtheDjobDapplicationDattestsDtoDtheDtruthfulnessDofDtheDinf
ormationDcontainedDinDtheDdocument.DSomeDemployersDevenDadviseDcandidatesDatDtheDonsetDofDt
heDapplicationDprocessDaboutDtheDpotentialDnegativeDconsequencesDofDprovidingDanyDfalseDorDinte
ntionallyDmisleadingDinformation.
AnDorganizationDconductsDaDpayDsurveyDandDfindsDthatDsomeDofDitsDkeyDemployeesDareDunderpaid.
DTheyDwantDtoDraiseDtheDpayDforDtheseDemployeesDbutDareDconcernedDaboutDaddingDtoDtheirDsalar
yDburden.DWhichDofDtheDfollowingDisDtheirDBESTDoption?
A.DIncentiveDpay
B.DStep-rateDadjustmentsDlinkedDtoDperformance
C.DMarket-basedDincreases
D.DCost-of-livingDadjustmentsD-DCORRECTDANSWERD-A.DIncentiveDpay
, ByDdefinition,DincentiveDpayDisDpayingDforDperformanceDbeyondDnormalDexpectations.DEmployeesD
receiveDtheDincentiveDpayDonlyDifDspecificDgoalsDareDmet.DAsDlongDasDincentiveDpayDandDbaseDpayDar
eDnotDcommingled,DemployeesDshouldDperceiveDitDasDaDrewardD(andDnotDanDentitlement)DandDtheD
employerDwillDbenefitDfromDaDgreaterDreturnDonDinvestmentDforDperformanceDbeyondDnormalDexp
ectations.
WhatDisDtheDESSENTIALDconceptDbehindDtheDstakeholderDtheory?
A.DAnDorganizationDaffectsDandDisDaffectedDbyDcomplexDinterests.
B.DTrueDvalueDmustDbeDdeterminedDbyDtheDincreaseDinDaDfirm'sDnetDworth.
C.DOrganizationsDmustDseeDemployeesDasDpartnersDratherDthanDfoes.
D.DAllDstakeholdersDmustDreceiveDvalueDforDaDfirmDtoDbeDconsideredDsociallyDresponsible.D-
DCORRECTDANSWERD-A.DAnDorganizationDaffectsDandDisDaffectedDbyDcomplexDinterests.
TheDstakeholderDconceptDproposesDthatDanyDorganizationDoperatesDwithinDaDcomplexDenvironme
ntDinDwhichDitDaffectsDandDisDaffectedDbyDaDvarietyDofDforcesDorDstakeholders,DwhoDallDshareDinDtheD
valueDofDtheDorganizationDandDitsDactivities.
WhatDactionDreflectsDtheDrequirementsDofDdueDprocessDinDaDdisciplinaryDprocess?
A.DEnsuringDthatDdisciplinedDemployeesDhaveDaDchanceDtoDdefendDthemselves
B.DOfferingDmultipleDchancesDforDreformingDproblematicDbehaviorsDorDperformance
C.DRequiringDformalDlegalDreviewDbeforeDactionDisDtaken
D.DComplyingDwithDunionDcontractDrequirementsDforDhandlingDgrievancesD-DCORRECTDANSWERD-
A.DEnsuringDthatDdisciplinedDemployeesDhaveDaDchanceDtoDdefendDthemselves
DueDprocessDisDaDprincipleDthatDensuresDthatDemployeesDareDinformedDofDexpectationsDandDtheDco
nsequencesDofDfailureDtoDmeetDthoseDexpectations,DareDtreatedDfairlyDandDfactually,DandDareDallow
edDanDopportunityDtoDdefendDthemselvesDandDappealDtheDdecision.DTheDconceptDofDmultipleDchan
cesDrefersDtoDtheDprocessDofDprogressiveDdiscipline.DDueDprocessDisDnotDrestrictedDtoDunionizedDwo
rkplaces.DAnDattorney'sDreviewDmayDbeDadvisableDbutDisDnotDrequiredDtoDhaveDfulfilledDtheDobligati
onDofDprovidingDanDemployeeDwithDdueDprocess.