OCC UCE DECK 1 2025/2026 EXAM
QUESTIONS AND ANSWERS | 100%
PASS
Goal of the overall control system? - 🧠ANSWER ✔✔help maintain authority,
recognize and identify the need for timely reporting and information
Goal of internal control system? - 🧠ANSWER ✔✔protect the banks assets,
assure integrity of financial and operating records.
Effective audit program depends on? - 🧠ANSWER ✔✔competence and
independence of the auditor. Proper scope and adequate procedures
Chapter 7 bankruptcy. Who can file, what happens to debt? - 🧠ANSWER
✔✔This type of bankruptcy can be filed by individuals, corporations, and
,partnerships. Complete liquidation of assets to pay off debt. Remaining
debt is discharged.
Chapter 11 bankruptcy; who can file, what happens to the debt? -
🧠ANSWER ✔✔Type of bankruptcy available to individuals, corporations,
and partnerships, but primarily businesses. allows debtor to remain in
operation while be sheltered from some of its debt.
Chapter 9 bankruptcy; who can file? - 🧠ANSWER ✔✔only available to
municipalities
Chapter 13 bankruptcy; who can file what happens to debt? - 🧠ANSWER
✔✔Known as the wage-earner bankruptcy - reorganizes debt to allow
repayment under a 3-5 year plan. Creditors unable to pursue legal action.
Can not be filed by partnerships or corporations
Is an audit committee required for FSAs and Banks with assets between
$500 million or more and less than $1 billion? - 🧠ANSWER ✔✔Yes. The
audit committee should be a majority of outside directors.
Is an audit committee required for FSAs and Banks with assets of $1 billion
or more? - 🧠ANSWER ✔✔Yes, and the audit committee has to be all
outside directors.
, Are banks and FSAs with assets between $500 million or more and less
than $1 billion required to file an internal control over financial reporting? -
🧠ANSWER ✔✔No. Only institutions with $1 billion or more at the beginning
of the fiscal year are required to file a report on internal controls over
financial reporting
For 12 CFR 363 purposes, if an outside director owns or controls atleast
what percentage of stock before the rest of the board must determine if that
director would interfere with the directors ability to be independent? -
🧠ANSWER ✔✔10%
For 12 CFR 363 purposes when will a director not be considered
independent of management? - 🧠ANSWER ✔✔the director serves or has
served within the last three years as a consultant, advisor, promoter,
underwriter, legal counsel, or trustee of or to the institution or its affiliates
and employee of the institution or any of its affiliates or an immediate family
member is or has been an executive officer within the last three years
True or false - A trust committee is required for banks and FSAs with trust
power and must not include officers or an affiliate who significantly
participates in the administration of fiduciary activities regardless of size -
🧠ANSWER ✔✔True
3
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
STATEMENT. ALL RIGHTS RESERVED
QUESTIONS AND ANSWERS | 100%
PASS
Goal of the overall control system? - 🧠ANSWER ✔✔help maintain authority,
recognize and identify the need for timely reporting and information
Goal of internal control system? - 🧠ANSWER ✔✔protect the banks assets,
assure integrity of financial and operating records.
Effective audit program depends on? - 🧠ANSWER ✔✔competence and
independence of the auditor. Proper scope and adequate procedures
Chapter 7 bankruptcy. Who can file, what happens to debt? - 🧠ANSWER
✔✔This type of bankruptcy can be filed by individuals, corporations, and
,partnerships. Complete liquidation of assets to pay off debt. Remaining
debt is discharged.
Chapter 11 bankruptcy; who can file, what happens to the debt? -
🧠ANSWER ✔✔Type of bankruptcy available to individuals, corporations,
and partnerships, but primarily businesses. allows debtor to remain in
operation while be sheltered from some of its debt.
Chapter 9 bankruptcy; who can file? - 🧠ANSWER ✔✔only available to
municipalities
Chapter 13 bankruptcy; who can file what happens to debt? - 🧠ANSWER
✔✔Known as the wage-earner bankruptcy - reorganizes debt to allow
repayment under a 3-5 year plan. Creditors unable to pursue legal action.
Can not be filed by partnerships or corporations
Is an audit committee required for FSAs and Banks with assets between
$500 million or more and less than $1 billion? - 🧠ANSWER ✔✔Yes. The
audit committee should be a majority of outside directors.
Is an audit committee required for FSAs and Banks with assets of $1 billion
or more? - 🧠ANSWER ✔✔Yes, and the audit committee has to be all
outside directors.
, Are banks and FSAs with assets between $500 million or more and less
than $1 billion required to file an internal control over financial reporting? -
🧠ANSWER ✔✔No. Only institutions with $1 billion or more at the beginning
of the fiscal year are required to file a report on internal controls over
financial reporting
For 12 CFR 363 purposes, if an outside director owns or controls atleast
what percentage of stock before the rest of the board must determine if that
director would interfere with the directors ability to be independent? -
🧠ANSWER ✔✔10%
For 12 CFR 363 purposes when will a director not be considered
independent of management? - 🧠ANSWER ✔✔the director serves or has
served within the last three years as a consultant, advisor, promoter,
underwriter, legal counsel, or trustee of or to the institution or its affiliates
and employee of the institution or any of its affiliates or an immediate family
member is or has been an executive officer within the last three years
True or false - A trust committee is required for banks and FSAs with trust
power and must not include officers or an affiliate who significantly
participates in the administration of fiduciary activities regardless of size -
🧠ANSWER ✔✔True
3
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
STATEMENT. ALL RIGHTS RESERVED
