2021 BEC 1 Practice Q’s & A’s
,
,Becker Professional Education Registered to: Dominique DAntonio
Question CPA-06487
Big Box Retailers is a cost leader that offers the lowest possible prices
on consumer goods. The marketing practice that best describes Big Box
Retailer's approach would be:
a. Database marketing.
b. Transaction marketing.
c. Network marketing.
d. Interaction-based relationship marketing.
Explanation
Choice "b" is correct. Big Box would use transaction marketing practices
that emphasize a single sale with no further interaction necessarily
required. Customers are attracted to low prices and will likely return
based on price only.
Choice "d" is incorrect. Interaction-based relationship marketing says
that sales further relationships, thereby driving more sales. Big Box's
strategy is to move product through low prices, not to promote
relationships.
Choice "a" is incorrect. Database marketing uses data as the foundation
for identifying target markets. Big Box promotes low prices without
targeting any specific database.
Choice "c" is incorrect. Network marketing is a form of referral and
relationship marketing. Big Box focuses on low price transactions, not
customer referrals and relationships.
, Becker Professional Education Registered to: Dominique DAntonio
Question CPA-06480
According to the Committee of Sponsoring Organizations (COSO) of the
Treadway Commission, which of the following components of enterprise
risk management addresses an entity's assignment of authority and
responsibility?
a. Information and communication.
b. Control activities.
c. Internal environment.
d. Monitoring.
Explanation
Choice "c" is correct. The internal environment component of the
enterprise risk management (ERM) framework includes foundational
elements such as organizational structure, assignment of authority and
responsibility, integrity and ethical values, risk management philosophy,
commitment to competence and human resource standards, and similar
issues that influence the tone of the organization.
Choice "b" is incorrect. The control activities component of the ERM
framework includes key elements that relate to the policies and
procedures that ensure appropriate responses to identified risks, not to
the assignment of authority and responsibility.
Choice "a" is incorrect. The information and communication component
of the ERM framework includes key elements that relate to the
identification, capture and communication of information, not to the
assignment of authority and responsibility.
Choice "d" is incorrect. The monitoring component of the enterprise risk
management framework includes key elements that relate to the
ongoing management activities or separate evaluations of the ERM
approach adopted by the entity, not to the assignment of authority and
responsibility.
,
,Becker Professional Education Registered to: Dominique DAntonio
Question CPA-06487
Big Box Retailers is a cost leader that offers the lowest possible prices
on consumer goods. The marketing practice that best describes Big Box
Retailer's approach would be:
a. Database marketing.
b. Transaction marketing.
c. Network marketing.
d. Interaction-based relationship marketing.
Explanation
Choice "b" is correct. Big Box would use transaction marketing practices
that emphasize a single sale with no further interaction necessarily
required. Customers are attracted to low prices and will likely return
based on price only.
Choice "d" is incorrect. Interaction-based relationship marketing says
that sales further relationships, thereby driving more sales. Big Box's
strategy is to move product through low prices, not to promote
relationships.
Choice "a" is incorrect. Database marketing uses data as the foundation
for identifying target markets. Big Box promotes low prices without
targeting any specific database.
Choice "c" is incorrect. Network marketing is a form of referral and
relationship marketing. Big Box focuses on low price transactions, not
customer referrals and relationships.
, Becker Professional Education Registered to: Dominique DAntonio
Question CPA-06480
According to the Committee of Sponsoring Organizations (COSO) of the
Treadway Commission, which of the following components of enterprise
risk management addresses an entity's assignment of authority and
responsibility?
a. Information and communication.
b. Control activities.
c. Internal environment.
d. Monitoring.
Explanation
Choice "c" is correct. The internal environment component of the
enterprise risk management (ERM) framework includes foundational
elements such as organizational structure, assignment of authority and
responsibility, integrity and ethical values, risk management philosophy,
commitment to competence and human resource standards, and similar
issues that influence the tone of the organization.
Choice "b" is incorrect. The control activities component of the ERM
framework includes key elements that relate to the policies and
procedures that ensure appropriate responses to identified risks, not to
the assignment of authority and responsibility.
Choice "a" is incorrect. The information and communication component
of the ERM framework includes key elements that relate to the
identification, capture and communication of information, not to the
assignment of authority and responsibility.
Choice "d" is incorrect. The monitoring component of the enterprise risk
management framework includes key elements that relate to the
ongoing management activities or separate evaluations of the ERM
approach adopted by the entity, not to the assignment of authority and
responsibility.
