WGU C202 MANAGING HUMAN
CAPITAL EXAM QUESTIONS WITH
VERIFIED ANSWERS. A+ GRADE
2025/2026.
Direct financial compensation - ANS compensation received in the form of salary, wages,
commissions, stock options or bonuses
indirect financial compensation - ANS all the tangible and financially valued rewards that are
not included in direct compensation including free meals, vacation time and health insurance
nonfinancial compensation - ANS rewards and incentives given to employees that aren't
financial in nature
base pay - ANS reflects the size and scope of an employee's responsibilities
severance pay - ANS give to employees upon termination of their employment
fixed pay - ANS pays employees a set amount regardless of performance
variable pay - ANS bases some or all of an employee's compensation on employee, team, or
organizational
1 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
,pay structure - ANS the array of pay rates for different work or skills within a single
organization
pay mix - ANS the relative emphasis give to different compensation components
pay leader - ANS organization with a compensation policy of giving employees greater
rewards than competitors
pay follower - ANS an organization that pays its front-line employees as little as possible
resource dependence theory - ANS proposition that organizational decisions are influenced
by both internal and external agents who control critical resources
wage differentials - ANS differences in wage between various workers, groups of workers, or
workers within a career field
labor market - ANS all of the potential employees located within a geographic area from
which the organization might be able to hire
cost of living allowances - ANS clauses in union contacts that automatically increase wages
base on the U.S. Bureau of Labor Statistics' cost of living index
market pricing - ANS uses external sources of information about how others are
compensating a certain position to assign value to a company's similar job
Compensation surveys - ANS surveys of other organizations conducted to learn what they
are paying for specific jobs or job classes
benchmark jobs - ANS jobs that tend to exist across departments and across diverse
organizations allowing them to be used as a basis for compensation comparisons
2 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
,job evaluation - ANS a systematic process that uses expert judgement to assess differences
in value between jobs
ranking methos - ANS subjectively compares jobs to each other based on their overall worth
to the organization
job classification method - ANS subjectively classifies jobs into an exiting hierarchy of grades
and categories
point factor method - ANS uses a set of compensable factors to determine a job's value. skill,
resp, effort, working cond.
compensable factor - ANS any characteristic used to provide a basis for judging a job's value
skills, responsibilities, effort, working conditions - ANS Four categories of compensable
factors
Hay Group Guide Chart - Profile Method - ANS a point-factor system is used to produce both
a profile and a point score for each position.
know how
problem solving
accountability
working conditions
Know-how, problem solving, accountability, working conditions - ANS Hay Group Method
based on four main factors
Position Analysis Questionnaire - ANS a structured job evaluation questionnaire that is
statistically analyzed to calculate pay rates based on how the labor market is valuing worker
characteristics. a copyrighted, standardized, structured job analysis questionnaire. 6 sections
covering 187 job elements.
3 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
, job pricing - ANS the generation of salary structures and pay levels for each job based on the
job evaluation data
single rate system, pay grades and broadbanding - ANS Three most common job pricing
systems
pay grade (pay scale) - ANS the range of possible pay for a group of jobs
broadbanding - ANS using very wide pay grades to increase pay flexibility
internal equity - ANS when employees perceive their pay to be fair relative to the pay of
other jobs in the organization
employee equity - ANS the perceived fairness of the relative pay between employees
performing similar jobs for the same organization
external equity - ANS when an organization's employees believe that their pay is fair when
compared to what other employers pay their employees who perform similar jobs
comparable worth - ANS if two jobs have equal difficulty requirements, the pay should be
the same, regardless of who fills them
wage rate compression - ANS starting salaries for new hires exceed the salaries paid to
experienced employees
golden parachute - ANS lucrative benefits given to executives in the event the company is
taken over
Cost-of-living adjustments - ANS pay increases to account for a higher cost of living in one
country versus another
4 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
CAPITAL EXAM QUESTIONS WITH
VERIFIED ANSWERS. A+ GRADE
2025/2026.
Direct financial compensation - ANS compensation received in the form of salary, wages,
commissions, stock options or bonuses
indirect financial compensation - ANS all the tangible and financially valued rewards that are
not included in direct compensation including free meals, vacation time and health insurance
nonfinancial compensation - ANS rewards and incentives given to employees that aren't
financial in nature
base pay - ANS reflects the size and scope of an employee's responsibilities
severance pay - ANS give to employees upon termination of their employment
fixed pay - ANS pays employees a set amount regardless of performance
variable pay - ANS bases some or all of an employee's compensation on employee, team, or
organizational
1 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
,pay structure - ANS the array of pay rates for different work or skills within a single
organization
pay mix - ANS the relative emphasis give to different compensation components
pay leader - ANS organization with a compensation policy of giving employees greater
rewards than competitors
pay follower - ANS an organization that pays its front-line employees as little as possible
resource dependence theory - ANS proposition that organizational decisions are influenced
by both internal and external agents who control critical resources
wage differentials - ANS differences in wage between various workers, groups of workers, or
workers within a career field
labor market - ANS all of the potential employees located within a geographic area from
which the organization might be able to hire
cost of living allowances - ANS clauses in union contacts that automatically increase wages
base on the U.S. Bureau of Labor Statistics' cost of living index
market pricing - ANS uses external sources of information about how others are
compensating a certain position to assign value to a company's similar job
Compensation surveys - ANS surveys of other organizations conducted to learn what they
are paying for specific jobs or job classes
benchmark jobs - ANS jobs that tend to exist across departments and across diverse
organizations allowing them to be used as a basis for compensation comparisons
2 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
,job evaluation - ANS a systematic process that uses expert judgement to assess differences
in value between jobs
ranking methos - ANS subjectively compares jobs to each other based on their overall worth
to the organization
job classification method - ANS subjectively classifies jobs into an exiting hierarchy of grades
and categories
point factor method - ANS uses a set of compensable factors to determine a job's value. skill,
resp, effort, working cond.
compensable factor - ANS any characteristic used to provide a basis for judging a job's value
skills, responsibilities, effort, working conditions - ANS Four categories of compensable
factors
Hay Group Guide Chart - Profile Method - ANS a point-factor system is used to produce both
a profile and a point score for each position.
know how
problem solving
accountability
working conditions
Know-how, problem solving, accountability, working conditions - ANS Hay Group Method
based on four main factors
Position Analysis Questionnaire - ANS a structured job evaluation questionnaire that is
statistically analyzed to calculate pay rates based on how the labor market is valuing worker
characteristics. a copyrighted, standardized, structured job analysis questionnaire. 6 sections
covering 187 job elements.
3 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
, job pricing - ANS the generation of salary structures and pay levels for each job based on the
job evaluation data
single rate system, pay grades and broadbanding - ANS Three most common job pricing
systems
pay grade (pay scale) - ANS the range of possible pay for a group of jobs
broadbanding - ANS using very wide pay grades to increase pay flexibility
internal equity - ANS when employees perceive their pay to be fair relative to the pay of
other jobs in the organization
employee equity - ANS the perceived fairness of the relative pay between employees
performing similar jobs for the same organization
external equity - ANS when an organization's employees believe that their pay is fair when
compared to what other employers pay their employees who perform similar jobs
comparable worth - ANS if two jobs have equal difficulty requirements, the pay should be
the same, regardless of who fills them
wage rate compression - ANS starting salaries for new hires exceed the salaries paid to
experienced employees
golden parachute - ANS lucrative benefits given to executives in the event the company is
taken over
Cost-of-living adjustments - ANS pay increases to account for a higher cost of living in one
country versus another
4 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
