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Oracle Fusion HCM: Compensation 2014 Essentials Sample Questions:

1. Your client's organization is a multi-country organization with headquarters in the US. All employees are covered under global compensation plan. However, the managers in each country wants to administer compensation in their country's respective currency. How would you enable this feature?

A) Enable currency switching
B) Use fast formula to display the employee currency using conversion rates
C) Display the corporate currency
D) Set the preferred currency in the worksheet

2. As compensation administrator, you are required to show "Actual Amounts paid to the worker" in the Total Compensation Statement. To meet this requirement, which component must be created?

A) Compensation Source
B) Compensation Item
C) Compensation Category
D) Compensation Statement Definition

3. 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 one individual compensation plan with all three options. Add the required payroll elements and add restriction based on eligibility profiles and plan access.
C) 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.
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.

4. Your client wants you to create a single Compensation Change statement that includes compensation awarded for multiple plans. What would you, as an implementation consultant, advise your client?

A) Create a separate Change statement template for this purpose and associate it with the Statement group for which this is required.
B) Create a custom data model that can pull compensation awarded from different plans and display the data using a BI publisher layout.
C) Create a Compensation Statement Plan with cross-references to compensation awarded in each plan.
D) This is possible only in the on-premises model using customization and is not possible inan SaaS instance. Therefore, you would respond accordingly to the client.

5. A corporation started giving performance bonuses to eligible employees on a monthly basis. As a compensation administrator, you are required to display performance bonuses with similar or related compensation items.
How will you configure this requirement in the Fusion application?

A) Attach performance bonuses to similar sources.
B) Attach performance bonuses to similar elements.
C) Attach performance bonuses to similar compensation items.
D) Attach performance bonuses to similar compensation categories/subcategories.

Solutions: