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Oracle Fusion HCM: Compensation 2014 Essentials Sample Questions:

1. A corporation has implemented Oracle Fusion Compensation for a manufacturing client. The Fusion consultant must create an element eligibility link for an Earnings element.
While creating the element eligibility link, which three options can be set up in the element eligibility work area?

A) Retroactive components
B) Status processing rules
C) Costing
D) General information
E) Auto indirect rules
F) Input values

2. 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) Set the preferred currency in the worksheet
D) Display the corporate currency

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

4. A corporation has implemented Oracle Fusion Compensation Management and set up an individual compensation plan with the following details.
-Name: Variable component -Restrict plan access: Yes -Action: Manage Contributions -Access Level: New -Allocations: Always Allow -Update Allocations: Never Allow -Discontinue Allocations: "Allowed during a specific period" with the period start and end dates
configured.
Identify the correct option for the actions possible.

A) The contribution will be automatically added to all the employees in the payroll and HR can discontinue allocations on a request basis.
B) All Employees will be able start the contribution anytime, update never, but discontinue during the period defined.
C) Only managers will be able start the contribution anytime, update never, but discontinue during the period defined for any specific employee by using the manager dashboard.
D) The plan setup is always for HR to take actions and, therefore, only HR will be able to start the contribution anytime, update never, but discontinue during the period defined for any specific employee.

5. A manager publishes budgets as amounts to the managers reporting to him. The following table shows the allocations made to each direct report (managers) and the total salaries of the employees in their chain.

Now, one of Manager 2's employees with eligible salary of $ 100,000 is reassigned to Manager 3. What will be the impact on Budget Percentage?

A) Budget allocated for the employee will be released back to the manager for reallocation. Budget percentage will remain unchanged.
B) No Impact. The budget allocated to the employee will automatically be allocated to Manager 3. Budget percentage will remain as 10.
C) Allocated budget will not change. Budget percentage of Manager 2 will increase to 12.5% and Manager 3 will decrease to 8%.
D) Allocated budget will not change. Budget percentage of Manager 3 will increase to 12.5% and Manager 2 will decrease to 8%.

Solutions: