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HRCI Exam PHR Topic 5 Question 72 Discussion

Actual exam question for HRCI's PHR exam
Question #: 72
Topic #: 5
[All PHR Questions]

Diane is the HR Professional for her organization and she's examining the ranges for the compensation levels of her company. Which one of the following statements best describes what a range for compensation is?

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Suggested Answer: B

A range is the space between the minimum and maximum pay for the type of work or role an employee satisfies in an organization.

Answer option D is incorrect. A range is not assigned to employees worth based on incentives.

Answer option A is incorrect. Ranges are not federally mandated so this choice is not valid.

Answer option C is incorrect. The choice isn't valid because it's not the worth of the responsibilities, but the range of pay from minimum to maximum for employees.


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