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Oracle Fusion HCM: Compensation 2014 Essentials Sample Questions:

1. A corporation is implementing Oracle Fusion Compensation Management and must set up salary bases. Employees are assigned different grades within the organization and the salaries are dependent on the grades.
What is the correct way to set up the salary bases?

A) Set up different salary bases for different grades and different payroll elements, because the payroll element can be attached to only one salary basis. The frequency of both salary basis and grade rate need not match.
B) Set up different salary bases for different grades with the same payroll element. The frequency of both salary basis and the grade rate should match.
C) Set up different salary bases for different grades and different payroll elements, because the payroll element can be attached to only one salary basis. The frequency of both salary basis and grade rate should match.
D) Set up different salary bases for different grades with the same payroll element. The frequency
of both salary basis and grade rate need not match.

2. Employee X was hired on 5 March 2014 as a Web Designer and was reporting to Manager Y.
On 10 September 2014, this employee was transferred to Manager Z to work as an Online Campaign designer. The company where Employee X works is doing a compensation cycle for the current year starting 1October 2014. The employee record set up in the plan setting is "Employment terms," while the Legal
Employer of Employee X uses a two-tier model.
On which manager's worksheet does Employee X appear?

A) Employee X does not appear on any manager's sheet, because he will not be evaluated by the compensation plan.
B) Manager Z, because this is the current manager to whom Employee X is reporting
C) Manager Y, because this is the original manager of Employee X
D) Both Manager Y and Manager Z, because he has worked under both of them during the current cycle

3. The manager administering compensation has the option to create budget models to be used to allocate compensation.
Which four options regarding compensation modeling are correct?

A) A model can be shared with the direct reports of the creator.
B) Modeling enables managers to automatically allocate compensation to employees who meet certain criteria.
C) Managers can use a model created by compensation professionals.
D) Managers can create their own models and use them.
E) Managers cannot share a model created by them.
F) Access of a model is limited only to the creator of the model.

4. As an implementation consultant, you have defined a total compensation statement. You have defined three compensation items (a new hire bonus, a profit sharing bonus, and a quarterly bonus), which are attached to the bonus category. You no longer need the quarterly bonus item but you are unable to delete it.
Which statement is true for the given scenario?

A) The above scenario does not stand true as the item can be deleted.
B) More than one administrator might be using the item and, therefore, it cannot be deleted.
C) Before deleting the item, you must configure a zero value behavior for the item.
D) The item cannot be deleted, because it is attached to a category.

5. As compensation manager, you are creating a Salary compensation item to define a total compensation statement. Which two statements are correct about compensation items?

A) Compensation items cannot be used across statement definitions.
B) Compensation items are added to a compensation category to include them in statements.
C) Compensation items are the foundation upon which the Compensation Statement is built.
D) Compensation items can be added to statement definitions directly.
E) Compensation items need not be mapped to the specific source from which the compensation information is retrieved.

Solutions: