IIA IIA-CFSA Online Practice Questions and Exam Preparation

IIA IIA-CFSA Online Questions & Answers

• Question 271:

  Due from bank balances are used to:

  A. Ensure liquid reserves
  B. Protect stored data
  C. Restrict physical access to cardholder
  D. Facilitate the transfer of funds and to use as compensation for correspondent bankingservices
  A. Ensure liquid reserves
  D. Facilitate the transfer of funds and to use as compensation for correspondent bankingservices

• Question 272:

  Some general criticisms on variable life insurance include all EXCEPT:

  A. High cost
  B. Flexible premiums
  C. Limited in investment choices
  D. Investment risk is unknown
  B. Flexible premiums

• Question 273:

  The enterprise- wide risk management approach focuses both on familiar financial risks and harder to measure--though equally important:

  A. Strategic, business level and reputational risks
  B. Strategic, operational and reputational risks
  C. Strategic, business level and operational level risks
  D. None of these
  B. Strategic, operational and reputational risks

• Question 274:

  Which of the following is a limitation in an audit that affects auditors' ability to detect material misstatements?

  A. Scope of an audit
  B. The use of testing
  C. Over- generalization
  D. Unidentifiable risks
  B. The use of testing

• Question 275:

  Banks often make loans to officers, directors, employees, and principal shareholders. Discloser of these related-party transactions is required:

  A. If they are material to the loan portfolio
  B. In relation to total stockholder's equity
  C. If they are presented as other liabilities
  D. Either A or B
  D. Either A or B

• Question 276:

  Derivates can be effective low cost tools for managing expose experience losses due to:

  A. Interest rate change
  B. Master agreements
  C. Commodity price change
  D. All of these
  D. All of these

• Question 277:

  The Federal Reserve issue oral or written statement to encourage banks to increase or decrease their lending activities. This is a condition of:

  A. Moral Suasion
  B. Change in discount rate
  C. Situation prior to inflation
  D. None of these
  A. Moral Suasion

• Question 278:

  Engagement client management often has a negative perception of audit process; therefore, communication throughout the audit process is essential to alleviate some of the concerns of management. The very first step in communicating the audit information with the client is:

  A. Entrance conference
  B. Formal notification of the audit
  C. of the scope of audit
  D. None of these
  B. Formal notification of the audit

• Question 279:

  There are some investment companies, known as exchange-traded funds or ETFS, which are legally classified as open-end companies or UITs. EFTs differ from traditional open-end companies and UITs because:

  A. Pursuant to SEC exemptive orders
  B. Shares issued by ETFs Traded on a secondary market
  C. Are lonely redeem able in very large blocks (Blocks of 50,000 shares for example)
  D. All of these
  D. All of these

• Question 280:

  Performance as _____________ is normally the only true trust relationship administered by a corporate trust department.

  A. Trustee under a bond indenture
  B. Bank under a bond indenture
  C. Trust under a bond indenture
  D. None of these
  A. Trustee under a bond indenture