3/28/25, 7:51 SHRM-CP Practice Test |
AM
SHRM-CP PRACTICE TEST EXAM QUESTIONS AND ANSWERS WITH
COMPLETE SOLUTIONS VERIFIED GRADED A++
Terms in this set (144)
An organization's state mandates a $2.00 Pay compression, or salary compression
per hour increase in the minimum wage.
As the company implements the change,
new hires will now be started at the same
wage as workers who have been on the
job for two years. What type of pay
variation does this exemplify?
An organization is developing a The G4 Guidelines are useful in at least two steps in the strategic process. At the
corporate social responsibility (CSR) initial assessment stage, the G4 Aspects provide a template for determining the
strategy. At which two stages of the organization's current conditions and needs. At the later measurement and
CSR strategic evaluation stage, the G4 Guidelines provide the metrics needed for meaningful
process is it likely to find the GRI G4 progress evaluation.
Guidelines most useful?
You cannot just outlaw bias with classic command-and-control mandates of
What is a key reason why many diversity
management training, hiring tests, ties to performance ratings, and remedial
initiatives fail to achieve intended
grievance procedures. An organization must truly embrace diversity and integrate
workplace changes?
varied life styles, beliefs, and needs into its business culture.
They provide instantaneous feedback to leaders about employee responses.
What is the best reason to use social media
channels for corporate communication? (Although social media make communication more complex and challenging, they
also make it easier to assess reaction to the communication.)
Extraterritoriality
The government of country A charges the Extraterritorial laws can be applied by a country to businesses owned in that
employees of a business legally country and to their employees, even when the actions in question occur in another
headquartered in that country with bribing country. Rule of law refers to a culture of respect for legal process to all
officials in country B. What legal principle citizens. Conflict of laws refers to an event in which multiple jurisdictions are
does this illustrate? involved and there are
differences in their relevant laws. Forum shopping occurs when multiple
jurisdictions may be involved and a plaintiff sues in the jurisdiction that will be most
favorable to
the claim.
1/24
,3/28/25, 7:51 SHRM-CP Practice Test |
AM
Action plan to address underperforming areas.
The most desired outcome of an audit would be a clear sense of where performance
What is the most desired outcome of an HR
could be improved and an action plan for implementing these improvements. A
audit?
checklist of controls does not ensure that the controls are effective in their
goals.
The audit may not affect efficiency, although it should affect quality. Measuring
oneself against peers is instructional, but doing it to gain credibility is shortsighted.
What constitutes value may be different in different organizations.
What is the most accurate Because value is tied to an organization's mission, the definition of value will vary. It
characterization of business value? may not be solely financial and may depend on internal assessment rather than
external judges. The need to create the desired value must be communicated to
and understood by the entire organization.
What is the purpose of "sensing meetings" Sustaining change.
in the organizational effectiveness and
development process? "Sensing" meetings are opportunities to check in on group reactions to an initiative
after it has been implemented. They can provide early indications that additional
Cultural assessment steps may be required.
Team building
Strategic alignment
Sustaining change
Which motivational theory emphasizes the The self-determination theory is based on a belief in intrinsic motivation—that
importance of autonomy, competency, and people are motivated when they have the ability to direct their actions (autonomy),
relatedness? when they can increase their mastery or competence, and when an action serves a
larger purpose.
Theory Z
Behavioral
reinforcement Self-
determination
Motivation-hygiene theory
What is the basis of civil law? Civil law is based on legislation: written codes (laws, rules, or regulations) approved
by legislative bodies. The law is applied deductively, starting from the abstract rule
Regulatory directives as stated in the nation's civil law code.
Court decisions
Tort reforms
Legislative acts
A university is beginning its budget In formula budgeting, a specific cost is applied to calculate funding. This method
planning process. Due to cutbacks in applies an average cost to comparable expenses, and general funding is increased
state aid, every department must cut its or decreased by a specific amount.
budget by 3%. What is this budgeting
method
called?
Deficit budgeting
Incremental budgeting
Formula budgeting
Zero-based budgeting
Which statement best describes an HR role HR often assists the employer's legal counsel. The organization's attorney handles
in the litigation process? answering the complaint, conducting depositions, and filing motions.
Assisting legal counsel as requested
Answering the complaint
Filing motions
Obtaining depositions
2/24
, 3/28/25, 7:51 SHRM-CP Practice Test |
AM
Nancy Adler identifies four challenges to Cultural determinism is a perspective that basically absolves individuals of any
effective cross-cultural communication. responsibility for their actions. Global HR professionals will often hear from
What term describes the challenge that managers in other countries that something cannot be done because of the local
absolves individual responsibility by culture. This may call for further discussion about the supposed obstacles.
ascribing obstacles to innate cultural
resistance?
Cultural determinism
Cultural relativism
Cultural stereotyping
Ethnocentrism
What are the three spheres of The term "sustainability" originally referred to an ecological or environmental goal.
sustainability? Now that focus has expanded to also consider an organization's social and
economic impact (sometimes referred to as the 3Ps: people, planet, profits).
-Local, regional, global
-Earth, air, water
-Community, corporate, ecological
-Environmental, social, economic
A software company makes applications for In employer-planned volunteering, employees volunteer within a framework of
small businesses and start-ups. As part projects developed by the employer that contribute to the organization's reputation
of its corporate social responsibility or business objectives.
(CSR)
program, it has set up a community center
where its employees are given paid
time off to volunteer time and expertise to
run a course designed by the
company's HR function to help low-
income people build their own small
businesses. What term best describes this
type of employee volunteer effort?
-Employer-planned volunteering
-Employer-sponsored volunteering
-Supported employee volunteering
-Private volunteering
An organization erroneously withheld A safe-harbor provision prevents an employer from losing the overtime exemption
deductions from several exempt for improper pay deductions, regardless of the reason, if the employer has "a
employees' paychecks. Under the safe- clearly communicated" policy (not necessarily in writing) and makes a good-faith
harbor provision of the Fair Labor effort to
Standards Act, what must the organization comply in the future. While the organization must reimburse employees for any
do? improper deductions, there is no requirement to pay any amount beyond the
improperly deducted amount.
-Reimburse employees for any improper
deductions plus interest.
-Create a written policy to prevent future
improper pay deductions.
-Make a good-faith effort to comply in the
future.
-Forfeit the overtime exception for the
class of employees for 12 months as a
penalty
3/24
AM
SHRM-CP PRACTICE TEST EXAM QUESTIONS AND ANSWERS WITH
COMPLETE SOLUTIONS VERIFIED GRADED A++
Terms in this set (144)
An organization's state mandates a $2.00 Pay compression, or salary compression
per hour increase in the minimum wage.
As the company implements the change,
new hires will now be started at the same
wage as workers who have been on the
job for two years. What type of pay
variation does this exemplify?
An organization is developing a The G4 Guidelines are useful in at least two steps in the strategic process. At the
corporate social responsibility (CSR) initial assessment stage, the G4 Aspects provide a template for determining the
strategy. At which two stages of the organization's current conditions and needs. At the later measurement and
CSR strategic evaluation stage, the G4 Guidelines provide the metrics needed for meaningful
process is it likely to find the GRI G4 progress evaluation.
Guidelines most useful?
You cannot just outlaw bias with classic command-and-control mandates of
What is a key reason why many diversity
management training, hiring tests, ties to performance ratings, and remedial
initiatives fail to achieve intended
grievance procedures. An organization must truly embrace diversity and integrate
workplace changes?
varied life styles, beliefs, and needs into its business culture.
They provide instantaneous feedback to leaders about employee responses.
What is the best reason to use social media
channels for corporate communication? (Although social media make communication more complex and challenging, they
also make it easier to assess reaction to the communication.)
Extraterritoriality
The government of country A charges the Extraterritorial laws can be applied by a country to businesses owned in that
employees of a business legally country and to their employees, even when the actions in question occur in another
headquartered in that country with bribing country. Rule of law refers to a culture of respect for legal process to all
officials in country B. What legal principle citizens. Conflict of laws refers to an event in which multiple jurisdictions are
does this illustrate? involved and there are
differences in their relevant laws. Forum shopping occurs when multiple
jurisdictions may be involved and a plaintiff sues in the jurisdiction that will be most
favorable to
the claim.
1/24
,3/28/25, 7:51 SHRM-CP Practice Test |
AM
Action plan to address underperforming areas.
The most desired outcome of an audit would be a clear sense of where performance
What is the most desired outcome of an HR
could be improved and an action plan for implementing these improvements. A
audit?
checklist of controls does not ensure that the controls are effective in their
goals.
The audit may not affect efficiency, although it should affect quality. Measuring
oneself against peers is instructional, but doing it to gain credibility is shortsighted.
What constitutes value may be different in different organizations.
What is the most accurate Because value is tied to an organization's mission, the definition of value will vary. It
characterization of business value? may not be solely financial and may depend on internal assessment rather than
external judges. The need to create the desired value must be communicated to
and understood by the entire organization.
What is the purpose of "sensing meetings" Sustaining change.
in the organizational effectiveness and
development process? "Sensing" meetings are opportunities to check in on group reactions to an initiative
after it has been implemented. They can provide early indications that additional
Cultural assessment steps may be required.
Team building
Strategic alignment
Sustaining change
Which motivational theory emphasizes the The self-determination theory is based on a belief in intrinsic motivation—that
importance of autonomy, competency, and people are motivated when they have the ability to direct their actions (autonomy),
relatedness? when they can increase their mastery or competence, and when an action serves a
larger purpose.
Theory Z
Behavioral
reinforcement Self-
determination
Motivation-hygiene theory
What is the basis of civil law? Civil law is based on legislation: written codes (laws, rules, or regulations) approved
by legislative bodies. The law is applied deductively, starting from the abstract rule
Regulatory directives as stated in the nation's civil law code.
Court decisions
Tort reforms
Legislative acts
A university is beginning its budget In formula budgeting, a specific cost is applied to calculate funding. This method
planning process. Due to cutbacks in applies an average cost to comparable expenses, and general funding is increased
state aid, every department must cut its or decreased by a specific amount.
budget by 3%. What is this budgeting
method
called?
Deficit budgeting
Incremental budgeting
Formula budgeting
Zero-based budgeting
Which statement best describes an HR role HR often assists the employer's legal counsel. The organization's attorney handles
in the litigation process? answering the complaint, conducting depositions, and filing motions.
Assisting legal counsel as requested
Answering the complaint
Filing motions
Obtaining depositions
2/24
, 3/28/25, 7:51 SHRM-CP Practice Test |
AM
Nancy Adler identifies four challenges to Cultural determinism is a perspective that basically absolves individuals of any
effective cross-cultural communication. responsibility for their actions. Global HR professionals will often hear from
What term describes the challenge that managers in other countries that something cannot be done because of the local
absolves individual responsibility by culture. This may call for further discussion about the supposed obstacles.
ascribing obstacles to innate cultural
resistance?
Cultural determinism
Cultural relativism
Cultural stereotyping
Ethnocentrism
What are the three spheres of The term "sustainability" originally referred to an ecological or environmental goal.
sustainability? Now that focus has expanded to also consider an organization's social and
economic impact (sometimes referred to as the 3Ps: people, planet, profits).
-Local, regional, global
-Earth, air, water
-Community, corporate, ecological
-Environmental, social, economic
A software company makes applications for In employer-planned volunteering, employees volunteer within a framework of
small businesses and start-ups. As part projects developed by the employer that contribute to the organization's reputation
of its corporate social responsibility or business objectives.
(CSR)
program, it has set up a community center
where its employees are given paid
time off to volunteer time and expertise to
run a course designed by the
company's HR function to help low-
income people build their own small
businesses. What term best describes this
type of employee volunteer effort?
-Employer-planned volunteering
-Employer-sponsored volunteering
-Supported employee volunteering
-Private volunteering
An organization erroneously withheld A safe-harbor provision prevents an employer from losing the overtime exemption
deductions from several exempt for improper pay deductions, regardless of the reason, if the employer has "a
employees' paychecks. Under the safe- clearly communicated" policy (not necessarily in writing) and makes a good-faith
harbor provision of the Fair Labor effort to
Standards Act, what must the organization comply in the future. While the organization must reimburse employees for any
do? improper deductions, there is no requirement to pay any amount beyond the
improperly deducted amount.
-Reimburse employees for any improper
deductions plus interest.
-Create a written policy to prevent future
improper pay deductions.
-Make a good-faith effort to comply in the
future.
-Forfeit the overtime exception for the
class of employees for 12 months as a
penalty
3/24
