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Oracle Fusion HCM: Compensation 2014 Essentials Sample Questions:

1. As an implementation consultant, you are defining entry values for an element in the Fusion application.
Which statement about selecting the rules for the element's entry value is true?

A) An element with the Automatic Entry option selected can allow multiple entries in the same period, and an element with the Automatic Entry option not selected cannot allow multiple entries in the same period.
B) An element with the Automatic Entry option selected can allow multiple entries in the same period.
C) An element with the Automatic Entry option not selected cannot allow multiple entries in the same period.
D) An element with the Automatic Entry option selected cannot allow multiple entries in the same period.

2. A corporation is implementing Oracle Fusion Compensation Management and needs to set up the
following for all employees:
-Salary paid based on the grades of employees.
-Car allowance paid based on the department and position
-Spot bonus paid based on a committee's decision.
Identify the correct option for the setup.

A) Set up a salary basis for "Salary" and associate a grade rate matrix to it, and add a car allowance and spot bonus as components for the salary basis along with Salary. Attach the required payroll elements to the salary. Have salary validations to restrict access and payment for specific departments and positions.
B) Set up a salary basis for "Salary" and associate a grade rate matrix and the payroll element to it. Set up individual compensation plans for the car allowance and spot bonus, and restrict the access to line manager and HR specialist respectively. Additionally, add an eligibility profile to the car allowance to restrict it to specific departments and positions.
C) Set up one individual compensation plan with all three options. Add the required payroll elements and add restriction based on eligibility profiles and plan access.
D) Set up Salary and the spot bonus as two salary bases, because there are no eligibility restrictions. Set up the car allowance as an individual compensation plan- Add the required payroll elements and add eligibility profiles for the car allowance for specific departments and positions.

3. A corporation is implementing Oracle Fusion Compensation Management and needs to give a spot bonus for a new hire as well as give the same for special recognition for employees.
Identify the correct option that will enable the organization to achieve the desired results.

A) Configure the spot bonus as an individual compensation plan and add "Hire" as an action. Then, after an employee is hired, this plan can be added to employees anytime.
B) Configure the spot bonus as an individual compensation plan and add "Hire" as an action so that for HR action "Hire," this bonus can be added. Also add "Manage Individual Compensation," which will enable Managers to add it to reportees.
C) Configure the spot bonus as an individual compensation plan and add "Hire" as an action so that for HR action "Hire," this bonus can be added. Also add "Manage Contributions," which will enable managers to add it to reportees.
D) Configure the spot bonus as an individual compensation plan and add "All" as an action so that this plan can be added to anyone at any time.

4. A corporation implemented Fusion Compensation and wants to validate the salaries with the setup. Select the two options that are true about validation setup.

A) Using grade rate validation, a warning message can be generated when the new or adjusted salary is outside the range of salary configured in the grade rate attached to the salary basis.
B) Using grade rate validation, approval can be prevented when the new or adjusted salary is outside the range of salary configured in the grade rate attached to salary basis,
C) Using either a formula at the element level or criteria at the element link level, approval can be prevented when the new or adjusted salary does not pass the configured validation.
D) Using either a formula at the element level or criteria at the element link level, a warning message can be generated when a new or adjusted salary does not pass the configured validation.

5. A corporation implemented Oracle Fusion Compensation Management. A Salary Basis has been created and attached to the workers and a Compensation cycle has been run. The corporation now wants to use a different Grade rate for the salary basis.
Which option is true?

A) A new Grade rate can be created and the Salary basis can be modified to include it.
B) The salary of an employee is based on the grade to which the employee is assigned. Therefore, nothing has to be changed at the salary basis level once it has been created. Employee data must be modified to reflect the new grade.
C) After the salary basis is associated with any worker, you cannot delete it or modify any characteristic. Therefore, a new Salary Basis must be created with a new Grade rate.
D) No new Grade rate can be created.

Solutions: