FINANCE TEST UPDATE|EXAM
QUESTIONS WITH MULTIPLE
CHOICES |VERIFIED & REVISED
ANSWERS (NEW)!!
Whichmofmthemfollowingmismoftenmcitedmasmthemmostmsignificantmstumblingmblockminmachievingm
compliancemgoalsmwithinmlargemfinancialmorganizations:m
A.mPoormdatamqualitymC.mInadequatemfundingm
B.mLackmofmtrainingmD.mImpropermaccountingmsystemm-mCORRECTmANSWERmA
Claytonmrecentlyminvestedm$50,000minmanmoilmcompany.mThemcompanymhasmagreedmtomusem
Clayton'sminvestmentmstrictlymformexplorationmpurposes.mRathermthanmwritingmoffm$50,000mfromm
itsmcorporatemtaxes,mthemcompanympassedmthemdeductionmonmtomClayton.mClaytonmcanmnowm
writemoffmthementiremamountmofmhisminvestmentmagainstmhismtaxes.mClaytonminvestedmhismmoneym
inm
A.moffshoremcompanies.mC.mgovernmentmbonds.m
B.mflow-throughmshares.mD.mderivatives.m-mCORRECTmANSWERmB
Tomaccommodatemrecentmregulationmchanges,mambrokeragemfirmmmustmimplementmnewm
financialmreportingmactivities.mWhatmpositivemactionmcanmthemfirmmtakemtomhelpmitsmemployeesm
adaptmtomthemchange?m
A.mHiremadditionalmemployeesmwhomaremknowledgeablemaboutmthemregulationsm
B.mSurveymthememployeesmtomgetmtheirmopinionsmaboutmthemregulatorymchangesm
C.mRevisemthemfirm'smvisionmstatementmtomincludemthemimportancemofmfollowingmregulationsm
D.mEducatemandmtrainmthememployeesmaboutmthemregulatorymchangesm-mCORRECTmANSWERmD
, Whichmofmthemfollowingmstatementsmregardingmfinancialminstitutionsmismtrue:m
A.mFinancemandminsuranceminstitutionsmtypicallymhindermthemflowmormmovementmofmmoneym
throughmthemeconomy.m
B.mIfmthemflowmofmmoneymintomamfinancialminstitutionmslowsmdown,mtheremismlessmmoneym
availablemformtheminstitutionmtomlendmorminvest.m
C.mFinancialminstitutionsmconcentratemthemriskmthatmindividualmsaversmandminvestorsmfacem
amongmamsmallmnumbermofmborrowers.m
D.mBecausemeachmfinancialminstitutionmfunctionsmindependently,mthemfailuremofmonem
financialminstitutionmhasmlittlemeffectmonmthemothers.m-mCORRECTmANSWERmB
Whichmofmthemfollowingmcanmbemusedmtomidentifymthemunethicalmmanipulationmofmrecordsminmam
financial-informationmmanagementmsystem:m
A.mLong-termmliabilitiesmC.mAuditmtrailsm
B.mWhat-ifmplanningmD.mDirectmchecksm-mCORRECTmANSWERmC
Whichmofmthemfollowingmstatementsmregardingmaccountingmandmfinancemismcorrect:m
A.mAccountingmfocusesmonmthempast,mwhilemfinancemfocusesmonmthemfuture.m
B.mAccountingmismmuchmbroadermthanmfinance,mwhichmfocusesmonminvestments.m
C.mFinancialmmanagersmtypicallymreportmtomthemvicempresidentmofmaccounting.m
D.mThemfinancemdepartmentmfocusesmonmassets,mwhilemaccountantsmtrackmliabilities.m-
mCORRECTmANSWERmA
Ingridmmustmanalyzemvariousmaspectsmofmthemcompletedmprojectmbymcomparingmthemresultsmwithm
themobjectives.mWhatmprocessmismIngridmlikelymtomusemtomobtainmallmofmtheminformationmform
analysis?m
A.mInternalmauditmC.mTeammreviewm
QUESTIONS WITH MULTIPLE
CHOICES |VERIFIED & REVISED
ANSWERS (NEW)!!
Whichmofmthemfollowingmismoftenmcitedmasmthemmostmsignificantmstumblingmblockminmachievingm
compliancemgoalsmwithinmlargemfinancialmorganizations:m
A.mPoormdatamqualitymC.mInadequatemfundingm
B.mLackmofmtrainingmD.mImpropermaccountingmsystemm-mCORRECTmANSWERmA
Claytonmrecentlyminvestedm$50,000minmanmoilmcompany.mThemcompanymhasmagreedmtomusem
Clayton'sminvestmentmstrictlymformexplorationmpurposes.mRathermthanmwritingmoffm$50,000mfromm
itsmcorporatemtaxes,mthemcompanympassedmthemdeductionmonmtomClayton.mClaytonmcanmnowm
writemoffmthementiremamountmofmhisminvestmentmagainstmhismtaxes.mClaytonminvestedmhismmoneym
inm
A.moffshoremcompanies.mC.mgovernmentmbonds.m
B.mflow-throughmshares.mD.mderivatives.m-mCORRECTmANSWERmB
Tomaccommodatemrecentmregulationmchanges,mambrokeragemfirmmmustmimplementmnewm
financialmreportingmactivities.mWhatmpositivemactionmcanmthemfirmmtakemtomhelpmitsmemployeesm
adaptmtomthemchange?m
A.mHiremadditionalmemployeesmwhomaremknowledgeablemaboutmthemregulationsm
B.mSurveymthememployeesmtomgetmtheirmopinionsmaboutmthemregulatorymchangesm
C.mRevisemthemfirm'smvisionmstatementmtomincludemthemimportancemofmfollowingmregulationsm
D.mEducatemandmtrainmthememployeesmaboutmthemregulatorymchangesm-mCORRECTmANSWERmD
, Whichmofmthemfollowingmstatementsmregardingmfinancialminstitutionsmismtrue:m
A.mFinancemandminsuranceminstitutionsmtypicallymhindermthemflowmormmovementmofmmoneym
throughmthemeconomy.m
B.mIfmthemflowmofmmoneymintomamfinancialminstitutionmslowsmdown,mtheremismlessmmoneym
availablemformtheminstitutionmtomlendmorminvest.m
C.mFinancialminstitutionsmconcentratemthemriskmthatmindividualmsaversmandminvestorsmfacem
amongmamsmallmnumbermofmborrowers.m
D.mBecausemeachmfinancialminstitutionmfunctionsmindependently,mthemfailuremofmonem
financialminstitutionmhasmlittlemeffectmonmthemothers.m-mCORRECTmANSWERmB
Whichmofmthemfollowingmcanmbemusedmtomidentifymthemunethicalmmanipulationmofmrecordsminmam
financial-informationmmanagementmsystem:m
A.mLong-termmliabilitiesmC.mAuditmtrailsm
B.mWhat-ifmplanningmD.mDirectmchecksm-mCORRECTmANSWERmC
Whichmofmthemfollowingmstatementsmregardingmaccountingmandmfinancemismcorrect:m
A.mAccountingmfocusesmonmthempast,mwhilemfinancemfocusesmonmthemfuture.m
B.mAccountingmismmuchmbroadermthanmfinance,mwhichmfocusesmonminvestments.m
C.mFinancialmmanagersmtypicallymreportmtomthemvicempresidentmofmaccounting.m
D.mThemfinancemdepartmentmfocusesmonmassets,mwhilemaccountantsmtrackmliabilities.m-
mCORRECTmANSWERmA
Ingridmmustmanalyzemvariousmaspectsmofmthemcompletedmprojectmbymcomparingmthemresultsmwithm
themobjectives.mWhatmprocessmismIngridmlikelymtomusemtomobtainmallmofmtheminformationmform
analysis?m
A.mInternalmauditmC.mTeammreviewm
