WGU C202 Managing Human Capital Exam
ACTUAL EXAM 2026/2027 | WGU C202
Human Capital | Verified Q&A | Pass
Guaranteed - A+ Graded
Section A: Multiple Choice (Questions 1–50)
Q1: A manager wants to terminate an employee who just disclosed a pregnancy. The manager cites
recent performance issues documented over the past two weeks. What should the HR professional
advise the manager to do first?
A. Proceed with termination to avoid liability
B. Ignore the pregnancy disclosure and document more performance issues
C. Offer a severance package in exchange for a liability waiver
D. Review the full performance history and consult legal before any adverse action. [CORRECT]
Correct Answer: D
Rationale: Termination shortly after a pregnancy disclosure raises potential claims under the Pregnancy
Discrimination Act (PDA). HR must ensure that any adverse employment decision is based on legitimate,
pre-existing, and well-documented performance issues unrelated to the pregnancy. Consulting legal
counsel protects the organization from discriminatory practice claims and ensures compliance with
federal employment law.
Q2: A company's turnover rate increased from 12% to 22% in one year. Exit interviews show most
departing employees cite "lack of career advancement." Based on this data, which HR strategy would be
most effective to address the root cause?
A. Implement a career ladder and internal promotion program. [CORRECT]
B. Increase starting salaries for new hires
C. Reduce the probationary period for new employees
D. Mandate overtime to increase productivity
,Correct Answer: A
Rationale: Strategic human capital management requires aligning retention interventions with data-
driven root causes. Since exit data identifies career advancement as the primary driver of turnover,
implementing a career ladder directly addresses employee feedback and motivation needs. This
approach aligns with Herzberg's Two-Factor Theory, where advancement opportunities serve as
motivators that increase job satisfaction and organizational commitment.
Q3: An HR manager is analyzing recruiting data. The company receives 500 applications for 10 sales
positions. 60% of applicants are women; only 20% of those hired are women. The selection process
includes a personality test that has not been validated. Which legal concept is most relevant to this
situation?
A. Disparate treatment
B. Disparate impact. [CORRECT]
C. Constructive discharge
D. Hostile work environment
Correct Answer: B
Rationale: Disparate impact occurs when a facially neutral employment practice disproportionately
excludes members of a protected class without being job-related and consistent with business necessity.
The unvalidated personality test appears neutral but results in a selection rate for women (20%) that is
substantially lower than their application rate (60%), suggesting the test may function as a barrier to
equal employment opportunity.
Q4: Under the Fair Labor Standards Act (FLSA), which of the following criteria must be met for an
employee to be classified as exempt from overtime pay?
A. The employee must be paid on an hourly basis
B. The employee must earn at least $684 per week and perform executive, administrative, or
professional duties. [CORRECT]
C. The employee must work more than 40 hours per week regularly
D. The employee must have a college degree
Correct Answer: B
Rationale: The FLSA establishes specific criteria for exemption status: employees must meet both a
salary basis test (earning at least $684 per week as of 2020) and a duties test (performing primarily
executive, administrative, professional, computer, or outside sales duties). Misclassification of non-
exempt employees as exempt violates the FLSA and exposes employers to significant back-wage liability
and penalties.
, Q5: A company is implementing a new performance management system. Which characteristic best
distinguishes an effective system from an ineffective one?
A. Annual performance ratings only
B. Manager-only assessments without employee input
C. Alignment with organizational strategic goals and continuous feedback. [CORRECT]
D. Focus on past failures rather than future development
Correct Answer: C
Rationale: Effective performance management systems are strategically aligned, ensuring individual
goals cascade from organizational objectives, and incorporate continuous feedback rather than isolated
annual reviews. This design improves employee engagement, facilitates real-time course correction, and
creates a developmental culture that supports both organizational performance and individual career
growth.
Q6: An employee with a known disability requests a new ergonomic chair costing $800 to help with back
pain. The company's standard chairs cost $200. The employee can perform all essential job functions
with the accommodation. Under the ADA, what is the employer's best course of action?
A. Deny the request because it costs more than the standard chair
B. Approve the request unless it causes undue hardship; $800 is unlikely to meet that threshold.
[CORRECT]
C. Offer a back pillow as a cheaper alternative without discussing with the employee
D. Require medical documentation then reconsider in 60 days
Correct Answer: B
Rationale: The Americans with Disabilities Act (ADA) requires employers to provide reasonable
accommodations that enable qualified individuals with disabilities to perform essential job functions,
unless doing so would cause undue hardship (significant difficulty or expense). For most employers, an
$800 ergonomic chair does not constitute undue hardship, particularly when it enables the employee to
perform all essential functions and prevents potential workers' compensation claims.
Q7: A manufacturing company wants to reduce its time-to-fill metric from 45 days to 30 days. Which
strategy would most effectively achieve this goal while maintaining hire quality?
A. Eliminate background checks to speed up the process
B. Implement an applicant tracking system with automated screening and structured interview
protocols. [CORRECT]
C. Hire the first available candidate for each position
D. Reduce the number of interview rounds from three to one
ACTUAL EXAM 2026/2027 | WGU C202
Human Capital | Verified Q&A | Pass
Guaranteed - A+ Graded
Section A: Multiple Choice (Questions 1–50)
Q1: A manager wants to terminate an employee who just disclosed a pregnancy. The manager cites
recent performance issues documented over the past two weeks. What should the HR professional
advise the manager to do first?
A. Proceed with termination to avoid liability
B. Ignore the pregnancy disclosure and document more performance issues
C. Offer a severance package in exchange for a liability waiver
D. Review the full performance history and consult legal before any adverse action. [CORRECT]
Correct Answer: D
Rationale: Termination shortly after a pregnancy disclosure raises potential claims under the Pregnancy
Discrimination Act (PDA). HR must ensure that any adverse employment decision is based on legitimate,
pre-existing, and well-documented performance issues unrelated to the pregnancy. Consulting legal
counsel protects the organization from discriminatory practice claims and ensures compliance with
federal employment law.
Q2: A company's turnover rate increased from 12% to 22% in one year. Exit interviews show most
departing employees cite "lack of career advancement." Based on this data, which HR strategy would be
most effective to address the root cause?
A. Implement a career ladder and internal promotion program. [CORRECT]
B. Increase starting salaries for new hires
C. Reduce the probationary period for new employees
D. Mandate overtime to increase productivity
,Correct Answer: A
Rationale: Strategic human capital management requires aligning retention interventions with data-
driven root causes. Since exit data identifies career advancement as the primary driver of turnover,
implementing a career ladder directly addresses employee feedback and motivation needs. This
approach aligns with Herzberg's Two-Factor Theory, where advancement opportunities serve as
motivators that increase job satisfaction and organizational commitment.
Q3: An HR manager is analyzing recruiting data. The company receives 500 applications for 10 sales
positions. 60% of applicants are women; only 20% of those hired are women. The selection process
includes a personality test that has not been validated. Which legal concept is most relevant to this
situation?
A. Disparate treatment
B. Disparate impact. [CORRECT]
C. Constructive discharge
D. Hostile work environment
Correct Answer: B
Rationale: Disparate impact occurs when a facially neutral employment practice disproportionately
excludes members of a protected class without being job-related and consistent with business necessity.
The unvalidated personality test appears neutral but results in a selection rate for women (20%) that is
substantially lower than their application rate (60%), suggesting the test may function as a barrier to
equal employment opportunity.
Q4: Under the Fair Labor Standards Act (FLSA), which of the following criteria must be met for an
employee to be classified as exempt from overtime pay?
A. The employee must be paid on an hourly basis
B. The employee must earn at least $684 per week and perform executive, administrative, or
professional duties. [CORRECT]
C. The employee must work more than 40 hours per week regularly
D. The employee must have a college degree
Correct Answer: B
Rationale: The FLSA establishes specific criteria for exemption status: employees must meet both a
salary basis test (earning at least $684 per week as of 2020) and a duties test (performing primarily
executive, administrative, professional, computer, or outside sales duties). Misclassification of non-
exempt employees as exempt violates the FLSA and exposes employers to significant back-wage liability
and penalties.
, Q5: A company is implementing a new performance management system. Which characteristic best
distinguishes an effective system from an ineffective one?
A. Annual performance ratings only
B. Manager-only assessments without employee input
C. Alignment with organizational strategic goals and continuous feedback. [CORRECT]
D. Focus on past failures rather than future development
Correct Answer: C
Rationale: Effective performance management systems are strategically aligned, ensuring individual
goals cascade from organizational objectives, and incorporate continuous feedback rather than isolated
annual reviews. This design improves employee engagement, facilitates real-time course correction, and
creates a developmental culture that supports both organizational performance and individual career
growth.
Q6: An employee with a known disability requests a new ergonomic chair costing $800 to help with back
pain. The company's standard chairs cost $200. The employee can perform all essential job functions
with the accommodation. Under the ADA, what is the employer's best course of action?
A. Deny the request because it costs more than the standard chair
B. Approve the request unless it causes undue hardship; $800 is unlikely to meet that threshold.
[CORRECT]
C. Offer a back pillow as a cheaper alternative without discussing with the employee
D. Require medical documentation then reconsider in 60 days
Correct Answer: B
Rationale: The Americans with Disabilities Act (ADA) requires employers to provide reasonable
accommodations that enable qualified individuals with disabilities to perform essential job functions,
unless doing so would cause undue hardship (significant difficulty or expense). For most employers, an
$800 ergonomic chair does not constitute undue hardship, particularly when it enables the employee to
perform all essential functions and prevents potential workers' compensation claims.
Q7: A manufacturing company wants to reduce its time-to-fill metric from 45 days to 30 days. Which
strategy would most effectively achieve this goal while maintaining hire quality?
A. Eliminate background checks to speed up the process
B. Implement an applicant tracking system with automated screening and structured interview
protocols. [CORRECT]
C. Hire the first available candidate for each position
D. Reduce the number of interview rounds from three to one
