Question 1

The ultimate penalty is generally _____ and _____guidelines are developed to ensure that the termination is warranted and that the employee has been adequately apprised of his or her behavioral problem:

Options :

A : termination, formal

B : discipline, informal

C : evaluation, informal

D : discipline, formal

Answer: A

Question 2

Investment risk refers to the likelihood of a loss. All of the following given below are types of investment risk EXCEPT.

Options :

A : Liquidity risk — losses resulting because invested dollars cannot be accessed. Losses may occur from penalties for early withdrawal, for example.

B : Economic Risks – one of the most obvious risks of investing is that the economy can go bad

C : Default risk — the possibility of a loss resulting from the bankruptcy of an organization in which funds were invested.

D : Market risk — the possibility of a loss resulting from choosing a relatively poor investment from a large pool of investments.

Answer: B

Question 3

Information used in reporting should be reviewed for accuracy and contain all of the following characteristics EXCEPT:

Options :

A : Relevance and understandability

B : Comparability and timeliness

C : Consistency and reliability

D : Planning an organizing

Answer: D

Question 4

The Canadian Comprehensive Auditing Foundation (CCAF) lists the following 12 attributes that management should be reporting on regarding the effectiveness of their organizations. Please choose the correct option:

Options :

A : The extent to which the organization provides an appropriate work environment for its Employees, safeguarding of assets and Monitoring and reporting of performance

B : Management direction (e.g., clarity of objectives), continued relevance of a program, appropriateness of program design and Achievement of intended results.

C : Satisfaction of clients or stakeholders, Secondary impacts, Costs and productivity, Responsiveness to changed circumstances and financial results.

D : All of the above.

Answer: D

Question 5

________ a cost-reimbursement contract that provides for payment to the contractor of a negotiated fee that is fixed at the inception of the contract. Where as ________ is a costreimbursement contract that provides for the initially negotiated fee to be adjusted later by a formula based on the relationship of total allowable costs to total target costs:

Options :

A : Cost sharing, cost-plus-incentive-fee

B : Cost-plus-fixed-fee is, cost-plus-incentive-fee

C : Cost-reimbursement, cost sharing

D : Cost-plus-incentive-fee, cost sharing

Answer: B

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