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NEW QUESTION: 1
The chief audit executive (CAE) of a multinational entity with highly automated and complex operations has just completed the update of the risk-based audit plan. Interviews with management revealed the introduction of new technology and a significant increase in both the number and severity of technology- based risk exposures. According to the International Professional Practices Framework, which of the following would be the best course of action for the CAE to undertake next?
A. Evaluate whether appropriate skills and knowledge required to perform the necessary audit work currently exist in the department.
B. Begin planning to recruit information technology audit specialists and other expert personnel into the internal audit activity.
C. Develop a detailed audit plan that makes the most efficient use and reallocation of existing internal audit resources.
D. Arrange for the outsourcing of some technology intensive audit processes and procedures based on the plan changes.
Answer: A
NEW QUESTION: 2
Which statement is true?
A. Portfolios with identical total risk but different systematic risk will be rated the same using Treynor ratio.
B. M-square should give us rankings that are identical to those of the Jensen's Alpha.
C. Sharpe ratio cannot be applied to risk-free assets.
Answer: C
Explanation:
A is true. The zero standard deviation of such assets cannot be used as the denominator. B is false. Remember that the Treynor ratio uses beta to measure risk. C is false. M-square uses total risk while Jensen's alpha uses beta.
NEW QUESTION: 3
A. Option A
B. Option B
C. Option C
D. Option D
Answer: D
NEW QUESTION: 4
Refer to the following. If there are no entries in my-b what is the result?
A. Only distinct values for key1
B. No entries are retrieved
C. All entries are retrieved
D. Run time error
Answer: C
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CPC Exam Info
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CPC Exam Topics
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CPC Offcial Page
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