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P3 Questions and Answers

Question # 6

Select the correct ethical principle that corresponds to each ethical dilemma described.

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Question # 7

L's risk register currently states the likelihood of risks m terms of their estimated percentage probabilities. The risk committee cs considering classifying risks using a three point scale high, medium and low.

Which TWO of the following are true?

A.

Quantifying probabilities as percentages gives greater scope for describing risks

B.

Using percentages will be more scientific

C.

Everyone will agree the meaning of high, medium and low

D.

High, medium, low will eliminate subjectivity

E.

High, medium and low will be easier to use

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Question # 8

K has several subsidiary companies. The directors of K's subsidiaries are paid an annual bonus based upon their particular subsidiary's reported profits.

The directors of one of K's subsidiaries are considering the choice between two models of a machine.

Which of the following is most likely to explain the decision to choose model X over model Y?

A.

Model X has a better combination of investment and running costs.

B.

Model X is the less risky investment.

C.

Investing in model X will mean the subsidiary will show a higher profit.

D.

Investing in model X will lead to a higher share price.

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Question # 9

Achieving the budget is often used as a good performance measure. However, there are problems with budgets which may mean they are not always good measures of performance.

Which TWO of the following statements about budgets suggest that they should not always be used to measure performance?

A.

Budgets may deliberately be set too low by managers so they are easily achieved and make the manager look good.

B.

Budgets are a commitment. They therefore act as a constraint on doing anything different.

C.

Budgets can be used to motivate staff if they are set correctly.

D.

Budgets can give people goals to achieve and if everyone strives to achieve these goals the whole organisation will benefit.

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Question # 10

E purchases parts for one of the machines it manufactures from Country X Place the risk classification next to the risk it relates to:

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Question # 11

The Committee of Sponsoring Organisations (COSO) outlined six key principles of Enterprise Risk Management (ERM).

Which of the following are COSO key principles?

A.

The creation of a risk aware culture.

B.

A comprehensive and holistic approach to risk management.

C.

Risk management is the responsibility of the risk committee.

D.

Consideration of risk management in the context of business strategy.

E.

Consideration of the main risk only which is financial risk.

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Question # 12

A hospital is part of a government provided health service which is free to patients. The management of the hospital is concerned with the need to minimise the risks to which the hospital is exposed from patient litigation.

In this context, which TWO of the following are appropriate steps to manage this risk?

A.

Ensuring that patients undergoing procedures sign documentation to confirm that the risks have been explained to them and that they understand.

B.

Allocating a risk score to patients depending on age, general heath and similar consideration and refusing to admit patients whose risk score exceeds a certain threshold.

C.

Ensuring that a policy is in place to transfer or discharge critically ill patients so as to minimise fatalities in the hospital.

D.

Ensure that proper documentation is in place for all patients showing such details as symptoms, treatments, and test results.

E.

The management refuses to allow the hospital to participate in the Major Accident Plan for the city in which it is located. It believes the Plan could expose the hospital to excessive risk.

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Question # 13

JHU is a retail chain that has 20 shops JHU's Internal Audit Department has just completed an investigation into the operation of controls over credit card payments by shop customers In 12 cases, the shops were complying with JHU's standard procedures The other 8 shops had serious deficiencies that differed between shops.

The Internal Audit Department has drafted a detailed report on the outcome of the audit visit carried out at each shop, but has not yet submitted them to senior management.

Which TWO of the following statements are correct?

A.

All 20 reports should be placed on JHU's intranet so that every shop manager can learn from good and bad practices noted at each shop

B.

It would be a mistake to submit the reports relating to the 12 shops that were in full compliance to senior management

C.

The reports relating to the deficient shops should set a deadline for their systems to be rectified and a follow-up audit visit carried out

D.

The Internal Audit Department should consider editing the concerns arising from the investigation in order to avoid demotivating the shop managers

E.

Draft reports should be discussed with their respective shop managers, who should have the opportunity to comment before the reports are submitted to senior management

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Question # 14

WTW is a global company which produces high-tech equipment such as smart televisions and mobile phones The CFO has just resigned, having been offered a post at a competitor The CFO was well regarded and WTWs share price has fallen in response to the announcement

At a board meeting the production director commented that the share price fall is the fault of the nomination committee

Which THREE of the following statements are correct?

A.

The nomination committee should prepare a description of the role and capabilities required for the CFO's replacement

B.

If the nomination committee had been working effectively the CFO would not have resigned

C.

When planning the CFO's replacement the nominations committee should consider the diversity of the board

D.

The nomination committee should have considered succession planning for directors before the CFO resigned

E.

Most of the members of the nomination committee should be executive directors as they are responsible for ensuring the share price recovers quickly.

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Question # 15

TRF is conducting a post completion audit on an investment in a pollution control machine that has reached the end of its five year useful life.

TRF could have been heavily fined if the machine had failed to keep pace with the output of emissions, measured in units. TRF's cost of capital is 10%. When the machine was purchased, there was a choice of three machines on the market:

TRF purchased the Big machine, but annual requirements only exceeded 600,000 once, in year 3, when 720,000 units of emissions were emitted.

Calculate the amount that the post completion audit shows TRF overpaid for the ownership costs associated with this machine.

Give your answer to the nearest whole $ (in $'000s).

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Question # 16

SDF is a quoted company that has a large internal audit department.

Which of the following would impair the independence of SDF's internal audit?

A.

The head of internal audit reports directly to SDF's chief accountant.

B.

Junior internal audit staff are recruited directly from university. They spend two years with the company before moving into other departments within SDF.

C.

Internal audit staff receive a bonus whenever they discover a compliance error.

D.

It is left to the individual members of the internal audit department to report any conflicts of interest associated with a proposed investigation to which they have been assigned.

E.

Internal audit staff salaries are linked to a company-wide salary scheme.

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Question # 17

Select the most appropriate level of responsibility for managing each of the following risks.

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Question # 18

HBN is a service company that offers cloud-based data storage and management on behalf of clients HBN pays an independent accountancy firm to review its cybersecurity arrangements, conduct penetration tests and report to HBN's Board on the results

Which TWO of the following are correct?

A.

Potential clients for HBN's services will expect to receive copies of these independent reports immediately after they are submitted.

B.

The independent accountancy firm will disclose all of the shortcomings that it identifies in its report, even if they embarrass HBN

C.

HBN could save time and reduce cost by having its own internal audit department conduct these investigations and report accordingly.

D.

It would prove simpler for HBN to permit clients to conduct their own cybersecurity reviews that would take account of the sensitivity of their data

E.

The independent accountancy firm will guarantee that there are no control weaknesses in HBN's systems, provided its results prove satisfactory

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Question # 19

Which of the following is NOT a financial risk.

A.

Selling goods on credit terms.

B.

Taking out variable rate loans to finance short term investments.

C.

Sourcing raw materials overseas to manufacture goods.

D.

Global warming.

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Question # 20

An electricity company owns and operates a nuclear power station located ten miles from a large city. A recent and very extensive engineering examination of the power station concludes with the estimate that the probability of a major nuclear disaster within the next 20 years is 0.2%.

Which of the following best explains the relevance of quantifying the risk in that way?

A.

There is no acceptable level of risk for a major nuclear accident and so the probability has little information value in itself.

B.

The probability is so low as to be ignored.

C.

The directors will be able to argue that they were not negligent in the event of a major disaster within the 20 year period.

D.

The calculation of a precise probability demonstrates that the engineers who conducted the inspection are experts in their field.

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Question # 21

The treasurer of IOK is considering entering into a money market hedge in order to hedge a payable.

Which of the following might be valid explanations for the use of a money market hedge for this purpose?

A.

There are no forward contracts available for the purchase of the payable currency using IOK's home currency.

B.

The timing of the payable does not permit the use of a forward contract.

C.

The relevant currency markets are very thinly traded and the treasurer believes that forward contracts are mispriced.

D.

A money market hedge is easier and less expensive to organise than a future or forward contract.

E.

Money market hedges can be unwound whereas positions in derivatives cannot.

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Question # 22

B is a small retail bank that offers customers many on-the services B is keen to ensure sound security both to protect the bank's assets and also to safeguard customer privacy

B's IT Security Manager has suggested that the bank should use two phase authentication for access to the on-line systems

Which TWO of the following are examples of two phase authentication?

A.

Customers first input a password and then receive an access code via email or text message that also has to be input

B.

Customers first input a password and then use a card or token to gain access

C.

Customers must input a valid user name and then input a password user name first input a password and then a pin number

D.

Customer passwords must contain both letters and numbers and must be changed regularly.

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Question # 23

Division A of X plc produced the following results in the last financial year.

Net profit      $200,000   Gross capital employed   $1,000,000

For evaluation purposes all divisional assets are valued at original cost.

The division is considering a project that has a positive NPV, will increase annual net profit by $15,000, but will require average inventory levels to increase by $50,000 and non-current assets to increase by $50,000.

X plc imposes a 16% capital charge on its divisions. Given these circumstances, will the evaluation criteria of return on investment (ROI) and residual income (RI) motivate division A managers to accept the project?

A.

ROI Yes  RI Yes

B.

ROI Yes  RI No

C.

ROI No  RI Yes

D.

ROI No  RI No

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Question # 24

Which of the following statements are true of residual risk?

A.

Residual risk has to be accepted.

B.

Residual risk is the risk that remains after risk mitigation has taken place.

C.

If residual risk is too great then the company should not expose itself to the risk situation.

D.

Residual risk may be accepted if management feels the company can bear the risk.

E.

Residual risk should never be accepted.

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Question # 25

Company X has been advised by its internal audit team that it should have a fraud response policy

A is a new member in the internal audit team and he does not see why this would help to prevent fraud and has asked for an explanation Which TWO of the following would be included in this explanation? It would act as a deterrent and help prevent staff from committing fraud

A.

It would be part of the internal control system of the company

B.

It would show that the company is taking the risk of fraud seriously.

C.

It would lay down processes and procedures that internal audit should follow if they suspect fraud

D.

It would clarify the role of various staff in detecting fraud

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Question # 26

K is a large mining company. In its risk report it states that there is a risk of accidents and injury because of the nature of the industry. It states that it has staff training in place and complies with all Health and Safety regulations but in spite of this there will still be a residual risk that accidents and injuries may occur.

Which of the following statements are correct?

A.

The shareholders should not invest because there is still a residual risk.

B.

The directors are avoiding their responsibilities by saying there is a residual risk.

C.

Some risks cannot be eliminated.

D.

Accepting a residual risk does not imply the company is reckless.

E.

Most companies in this industry will say something similar in their risk report.

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Question # 27

There are many method for appraising capital projects.

Select ALL correct statements.

A.

The time value of money should be the same for all similar competing projects.

B.

Decisions should only consider the financial implications of the project.

C.

No one method of capital appraisal taken alone is adequate to evaluate competing projects.

D.

Net Present Value evaluation considers a range of different discount rates considering different risk factors and finance methods.

E.

Opportunity cost is only relevant when capital is scarce.

F.

All projects should be evaluated using sensitivity analysis.

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Question # 28

S Doc is an out-of-hours service provided by a country's government. The service allows members of the public to call and speak to a nurse who can advise on medical situations which are not obviously emergencies. Depending on the situation the caller can be referred to the full emergency services, or be advised to go to Accident and Emergency at the nearest hospital. Alternatively, a callout from a general practitioner (GP) can be organised; the caller can be advised of where GP services are available; advice can be given over the phone; or a decision can be taken that no further action is required at least until normal services resume on the next working day.

There has been a suggestion that the nurses who take these calls could be replaced by suitably trained operatives who have available to them a specially designed expert system.

Which of the following are advantages of using an expert system instead of nurses?

A.

The operatives would be too careful and therefore would recommend unnecessary treatments or interventions.

B.

Some callers may present with complicated scenarios that a non-medically trained operative or expert system would be unable to recognise (for example, psychological issues).

C.

Using an expert system would make operatives less inclined to feel sorry for the caller and ensure that only relevant facts were considered in coming to a decision.

D.

The use of an expert system would ensure that only relevant questions were asked of the caller and that operatives did not miss something vital due to distraction or fatigue.

E.

The expert system will always follow the same path whereas the nurses may have more knowledge about some health issues and very little about others.

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Question # 29

Which THREE of the following are true with regard to managing the changeover from an old to a new computer system?

A.

Pilot changeover moves the simplest part of the business to the new system first

B.

Parallel running involves keeping the old system running normally until certain data retention criteria are met or confidence is gained, while the new system deals with the new workload Data input is usually earned out on both systems

C.

All methods of changeover carry high risk and it is the preparation consideration of data compatibility and data cleansing before the changeover which has the biggest impact on the smoothness of the transition

D.

Phased changeover moves individual portions of the business to the new system one at a time

E.

Direct changeover, or big bang, is only used when the systems are significantly different such that comparing the outputs of the two systems is largely irrelevant

F.

Phased changeover is the safest and slowest method of changeover

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Question # 30

An internal audit investigation involved conducting compliance tests on the processing of purchase invoices.

The purchase ledger clerk compares invoices against purchase orders and passes them for payment The invoices are then input into a computerised purchase ledger system The system checks that the supplier has a valid purchase ledger account, as authorised by the chief buyer, before crediting the supplier's account with the value of the invoice.

The internal auditor checked a sample of recorded purchase invoices against their corresponding purchase orders The internal auditor found four cases where invoices could not be agreed to corresponding purchase orders.

What is the potential significance of this compliance error?

A.

Payments could be made to non-existent suppliers

B.

The purchase ledger clerk could make fraudulent payments to herself.

C.

The purchase ledger clerk could have ordered goods for her own personal use.

D.

The discrepancy is a minor one and should be ignored

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Question # 31

Which of the following best describes the conflict between maximising profit and maximising shareholder wealth?

A.

Managers are generally more interested in maximising shareholder wealth than in maximising profits or sales.

B.

Profit and shareholder wealth are unrelated.

C.

Tax is paid on profit, but not on shareholder wealth.

D.

Profits can be increased from one year to the next without increasing shareholder wealth.

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Question # 32

BCD has set up a number of functions within its security operations centre (SOC) One of these is a Hunt team. Which of the following is the primary function of a Hunt team?

A.

To look for weaknesses in other peoples' systems

B.

To look for solutions in response to threats.

C.

To look for signs that BCD's system has been breached

D.

To look for weaknesses in BCD's cyber security system.

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Question # 33

Which of the following are objectives of the audit planning procedure?

A.

To work out the time and resources required for the audit.

B.

To perform substantive tests.

C.

To work out how audit evidence will be obtained.

D.

To perform analytical review to identify possible areas for investigation.

E.

To set out how audit objectives will be achieved.

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Question # 34

YGH has recently completed a post completion audit on a five year contract that has only recently come to a conclusion. The main finding was that the project delivered most of the expected benefits, but that it cost significantly more to implement than had been anticipated at the project appraisal stage. YGH would not have proceeded if the true cost had been known at that stage.

The project was the responsibility of the production department, which is presently managed by G.

When the project was proposed, the production department was managed by H. H is now YGH's Director of Operations.

How should the finding from this post completion audit be interpreted?

A.

YGH should consider introducing more detailed checking of the assumptions underlying the costs of future projects.

B.

The production department should not be granted funding for future projects unless there are compelling reasons to proceed.

C.

G should be held accountable for the overspend on the project.

D.

H should be held accountable for the overspend on the project.

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Question # 35

DFG is the largest bridge-building company in its home country, H. DFG works exclusively for the government of country H and the government awards DFG 80% of the contracts to build new bridges.

DFG's directors are considering using the big data approach to identify opportunities to increase sales revenues and profit.

Which of the following statements are true?

A.

Big data has the potential to identify ways in which DFG can reduce construction costs.

B.

DFG should supplement its existing databases in order to enhance the benefit from big data.

C.

The big data approach may help DFG to price contract bids more accurately.

D.

Big data has the potential to identify ways in which DFG can increase sales.

E.

It would be unethical for DFG to use big data in order to compete even more effectively with its rivals.

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Question # 36

A project has been evaluated on the basis that it will cost $14 million and will have a net present value of $2.3 million.

The project has commenced and $3 million of the initial $14 million has been invested. A problem has been discovered that will cost an additional $2.5 million to rectify. The $2.5 million will be payable immediately.

What is the NPV of continuing with this project?

A.

-$3 million

B.

-$0.2 million

C.

$1.8 million

D.

$2.8 million

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Question # 37

C is a large international supermarket chain. It has many thousands of suppliers and many thousands of potential suppliers competing for shelf space m its supermarkets.

Which of the following provisions would be appropriate for C to include m its ethical code in relation to its suppliers?

Select ALL that apply

A.

C shall insist on an exclusivity agreement with each supplier so that identical products are not available from other outlets

B.

C shall endeavour to adhere to the terms of its contracts with its suppliers at all times

C.

Cshall continuously remind suppliers that it always has several alternative suppliers to choose from.

D.

C shall not use its buying power unscrupulously.

E.

C shall keep confidential all information received from suppliers and potential suppliers

F.

C shall endeavour to take as high a percentage of each supplier's output as possible

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Question # 38

B is a company with a strong risk appetite. Which of the following are benefits of using the certainty equivalent method of capital investment appraisal in B's case?

A.

A high level of subjective judgment is required from the decision maker.

B.

It avoids the need for the investor to estimate an appropriate discount rate which reflects the risk of the project cash flows.

C.

By building a risk adjustment into the discount rate, it takes greater account of risk in later time periods.

D.

More risky projects are more likely to be accepted using this method of appraisal.

E.

The method produces the most appropriate results in cases where project cash flows do not increase in risk over time.

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Question # 39

Amber selects appropriate suppliers and places purchase orders.

Brian passes invoices for payment and submits payment instructions to the bank.

Chris checks incoming inventory and unpacks goods from their containers.

Dirwan posts purchase invoices and files invoices and supporting documents.

Which member of staff could most easily commit fraud?

A.

Amber

B.

Brian

C.

Chris

D.

Dirwan

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Question # 40

A project requires a capital investment of £2.7million. The project will save £450,000 each year after taxation. Assume the savings are in perpetuity. The business risk of the venture requires a 15% discount rate. The company has to borrow £1million to finance the project at a rate of 9% and the net tax shield is 30%, the project supports debt which generates an interest tax shield of 0.30 x 0.09 x £1million, which is £27,000 per year in perpetuity.

Calculate the project's adjusted present value.

A.

£(30,000)

B.

0

C.

£570,000

D.

£600,000

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Question # 41

The management of U is reviewing internal controls throughout the company. It has noted the following:-

   1. In the trade receivables section, journal adjustments are made by the clerks, without any reference to their supervisor. Journal adjustments may relate to sales returns, discounts allowed, or transfers between accounts.

   2. In the purchasing department, the purchasing manager selects and approves all suppliers, as they are the only person with sufficient experience to do so. They use a very limited number of suppliers because they can rely on these suppliers to provide goods of the quality required at a competitive price. They do not keep any documents in relation to negotiations with other potential suppliers or other quotes obtained.

In relation to the above, which of the following statements are valid?

A.

The fact that the purchasing manager uses a very small number of suppliers is, in itself, a sign of poor internal controls.

B.

It is acceptable for clerks in the trade receivables section to make journal adjustments without authorisation provided the amounts involved are not material to U's financial statements.

C.

It is acceptable for clerks in the trade receivable section to make journal adjustments without authorisation, provided they have no access to cash receipts.

D.

The fact that the purchasing manager does not keep documentation relating to negotiations with suppliers, or potential suppliers, is evidence that they are involved in fraudulent activity.

E.

Clerks making journal adjustments without reference to their supervisor is evidence of inadequate separation of duties.

F.

The way the role of purchasing manager is carried out in U increases the chance that the company will fall victim to fraudulent activity.

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Question # 42

W plc is a large international supermarket chain. It has many thousands of suppliers and many thousands of others competing for "shelf space" in its supermarkets.

Which of the following would be appropriate provisions for W plc to include in its Ethical Code in relation to its suppliers?

A.

W plc shall not use its buying power unscrupulously.

B.

W plc shall endeavour to adhere to the terms of its contracts with its suppliers at all times.

C.

W plc shall keep confidential all information received from suppliers and potential suppliers.

D.

W plc shall continuously remind suppliers that it always has several alternative suppliers to choose from.

E.

W plc shall endeavour to take as high a percentage of each supplier's output as possible.

F.

W plc shall insist on an exclusivity agreement with each supplier so that identical products are not available from other outlets.

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Question # 43

VBN is a multinational company that has 60 subsidiary companies that operate in 11 countries. VBN evaluates the performance of each subsidiary as an investment centre, using residual income to measure performance.

Which THREE of the following threats of dysfunctional behaviour may arise from VBN's use of residual income to measure subsidiaries' performance?

A.

Subsidiary boards may actively hedge translation risks.

B.

Subsidiary boards may take a short-term view to investment projects.

C.

Subsidiary boards may waste time by arguing over transfer prices.

D.

Subsidiary boards may waste time and incur unnecessary fees in order to recognise gains on the revaluation of property.

E.

Subsidiary boards may be motivated to spend heavily on capital expenditure in order to ensure that budget allocations are maintained and even increased.

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Question # 44

TDC is a company which runs gas-fired power stations in western Europe. The Risk Committee has just received a report that a power station built to the same design and specification in a developing country has recently collapsed. The causes of the collapse are unclear but the consequences for TDC would be catastrophic if something similar were to happen in Europe

Which of the following actions being considered by the Risk Committee are ethical?

Select ALL that apply

A.

Commission a reputable firm of structural engineers to carry out a review of all power stations owned by TDC

B.

Send experts employed by TDC to the site of the collapse so that they can gather information first hand on what happened

C.

Draw up contingency plans in case some of TDC's power stations need to be shut down

D.

Decide that the information available to date is too uncertain to take any action for now

E.

Attempt to increase the level of insurance cover against this type of eventuality

F.

Issue a press release confirming that all TDC's power stations are "entirely safe'.

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Question # 45

Rio owns an architects business which employs 12 skilled architects and four administrative staff.

The Office Manager has just attended a workshop on internal controls and the way in which they can improve organisations. He intends to implement some internal controls as soon as possible.

What are the limitations of an internal control system in Rio's business?

A.

Internal controls are only suitable for large businesses.

B.

Employees could ignore the internal controls.

C.

If Rio does not support the internal control system then the controls may not be adhered to.

D.

Internal controls may slow down the speed with which the architects can respond to enquiries.

E.

Internal controls will usually mean hiring more staff.

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Question # 46

JHU has recently completed an eight year project. The project was evaluated at a discount rate of 10% and was accepted because the net present value was $18 million.

In year 3 of the project there was a significant unexpected repair arising because of the implementation stage of the project was rushed and some checks on equipment were skipped to save time. The cost of this was $8 million.

In year 8 of the project the costs of dismantling the project were $11 million more than anticipated because of unexpected changes to the law concerning disposal of industrial scrap.

How should these findings be reflected in the post completion audit?

A.

Poor project management cost the entity $6 million, to the nearest million.

B.

Poor project management cost the entity $11 million, to the nearest million.

C.

Poor project management cost the entity $5 million, to the nearest million.

D.

Poor project management cost the entity $16 million, to the nearest million.

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Question # 47

Which TWO of the following scenarios should be considered in strategic scenario planning by a publishing company that specialises in academic textbooks?

A.

There could be a change in the technology used by consumers, such as smaller mobile phones with smaller screens

B.

Budget changes could have an impact on the funding available to college and university libraries

C.

The terms offered by media companies for film rights for books could change

D.

The quality of output from printing presses might improve

E.

Environmental concerns could lead to a decrease in the availability of trees to make paper

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Question # 48

YGH has recently completed a post completion audit on a five year contract that has only recently come to a conclusion. The main finding was that the project delivered most of the expected benefits, but that it cost significantly more to implement than had been anticipated at the project appraisal stage. YGH would not have proceeded if the true cost had been known at that stage.

The project was the responsibility of the production department, which is presently managed by G.

When the project was proposed, the production department was managed by H. H is now YGH's Director of Operations.

How should the finding from this post completion audit be interpreted?

A.

YGH should consider introducing more detailed checking of the assumptions underlying the costs of future projects.

B.

The production department should not be granted funding for future projects unless there are compelling reasons to proceed.

C.

G should be held accountable for the overspend on the project.

D.

H should be held accountable for the overspend on the project.

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Question # 49

M is a listed company. It is hoping to invest in a risky new venture. M has a substantial amount of cash to invest in the venture. M would have found it difficult to raise new finance as it has a high level of gearing. Which of the following statements about stakeholders' conflicting interests are true?

A.

M's shareholders would only be exposed to the systematic risk from the investment in the new venture.

B.

M's credit rating is likely to fall as a result of this new venture.

C.

The directors would only be exposed to the systematic risk from the investment in the new venture.

D.

M's diversification will mean less risk for the shareholders.

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Question # 50

The long-term prospects for interest rates in the UK and the USA are 2% and 6% per annum respectively.

The GBP/USD spot rate is currently GBP/USD1.71.

Using interest rate parity theory, what GBP/USD spot rate would you expect to see in six months' time?

A.

GBP/USD = 1.74

B.

GBP/USD = 1.78

C.

GBP/USD = 1.65

D.

GBP/USD = 1.67

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