IIA IIA-CFSA Online Practice Questions and Exam Preparation

IIA IIA-CFSA Online Questions & Answers

• Question 41:

  These are similar to coupon bonds in that ownership is based on possession. These have not been issued for the last couple of decades, however those previously issued will continue to exist until they reach maturity. What are these?

  A. Registered bonds
  B. Bearer bonds
  C. Book-entry bonds
  D. Putable bonds
  B. Bearer bonds

• Question 42:

  Which of the following are generally considered to be characteristics of savings deposits? Interest bearing.

  II. No stated maturity.

  III.

  Penalty for withdrawal.

  A. I and II only.
  B. II and III only.
  C. II and III only.
  D. I, II, and III.
  A. I and II only.

• Question 43:

  __________ agency system uses agents who sell the policies of a group of affiliated companies.

  A. Multiple-line (or all lines) agency system
  B. Personal selling distribution system
  C. Career agency system
  D. None of these
  A. Multiple-line (or all lines) agency system

• Question 44:

  Standards related to information technology are not as well-developed or universally accepted as standards in some other audit areas. Financial statements that are fairly presented meet the following ____________: Generally accepted accounting principles are used Appropriate accounting principles are used Financial statements address matters that may affect their use or interpretation Financial statements classify and summarize information in a reasonable manner Financial statements reflect underlying transactions and events in a way that facilitates the presentation of the financial position, results of operation , and cash flows

  A. Limitations
  B. Guidelines
  C. Objective controls
  D. Processing controls
  B. Guidelines

• Question 45:

  Money market funds:

  A. Can invest in only certain high-quality, short-term investments issued by Federal State and local government
  B. Try to keep their NAV at a stable $1.00 per share
  C. Pay dividends that generally reflect short-term interest rates
  D. All of these
  D. All of these

• Question 46:

  Which one of the following does NOT depicts a common indexing method?

  A. The annual ratchet
  B. The point to point method
  C. The high water mark method
  D. The low water mark method
  D. The low water mark method

• Question 47:

  Variable life insurance is:

  A. Permanent life insurance
  B. Temporary life insurance
  C. Flexible life insurance
  D. None of these
  A. Permanent life insurance

• Question 48:

  _________ stock generally costs more than __________ because of the additional rights its stockholders receive.

  A. Cumulative preferred stock, Non- Cumulative preferred stock
  B. Non- Cumulative preferred stock, Cumulative preferred stock
  C. Cumulative preferred stock, Cash dividends
  D. Preferred stock, Common Stock
  D. Preferred stock, Common Stock

• Question 49:

  A sound Asset/Liability management policy must manage following risk EXCEPT:

  A. Credit Risk
  B. Capital Risk
  C. Interest-Rate risk
  D. None of these
  D. None of these

• Question 50:

  Banks should account for trading securities at market value. Any changes in cost should be regarded as a/ an:

  A. Realized gain
  B. Unrealized loss
  C. Unrealized gain or loss
  D. none of these
  C. Unrealized gain or loss