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WorldatWork CECP Practice Test Questions Answers

Exam Code: CECP (Updated 100 Q&As)
Exam Name: Certified Executive Compensation Professional
Last Update: 07-Dec-2025
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  • Single Choice: 100 Q&A's

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    CECP Questions and Answers

    Question # 1

    What is the most common term for the broad framework of principles and approaches that guide day-to-day decisions affecting the business, including how it positions itself in the market?

    A.

    The business plan

    B.

    The corporate objective

    C.

    The mission statement

    D.

    The competitive strategy

    Question # 2

    The XYZ Company focuses on maintaining/increasing market share and its products tend to be more evolutionary than revolutionary. What stage of the business lifecycle is XYZ most likely in?

    A.

    Start-up

    B.

    Growth

    C.

    Mature

    D.

    Decline

    Question # 3

    Which financial statement or combination of statements provide(s) the most comprehensive view of the company’s financial situation?

    A.

    The balance sheet

    B.

    The income statement

    C.

    The cash flow statement and the income statement

    D.

    The cash flow statement, along with the balance sheet and income statement

    Question # 4

    What type of equity incentive gives employees the right to purchase company shares at a specified price?

    A.

    Stock/share options

    B.

    Stock/share grants

    C.

    Restricted stock/shares

    D.

    Performance units   

    Question # 5

    What best describes the two primary elements of compensation?

    A.

    Fixed pay and variable pay

    B.

    Base pay and annual incentives

    C.

    Direct and indirect compensation

    D.

    Salary and hourly rate   

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