Exam 1: Certified Financial Services Auditor

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

Compliance testing is designed primarily to:

Money market funds bond funds (also called "fixed income" funds) , and stock funds (also called equity funds) are the categories of:

Risks related to assets/liability management that auditors should be aware of include all of the following EXCEPT:

Common type/s of installment loans is/are:

A major function of NAIC is to encourage __________ among state insurance departments through the development of model bills and regulations.

Whole life policies accrue a cash value that the insurer must surrender to the policyholder if the policy does not remain in force until the policyholder's death. The actual cash value payable to the policyholder in this circumstance would be:

A sound data classification scheme sets the foundation for the effective implementation of access control to ensure that data is adequately protected. The elements of a data classification scheme are as follows EXCEPT:

All lending institutions assume some loans will not be repaid and thus estimate the losses they expect from their loan portfolio. Management of the lending institution sets a reserve for loan losses at a given point based on factors such as:

The most common index funds tries to tracks the S&P 500 by purchasing all 500 stocks using the same percentage as the index. Other indices that mutual funds try to copy include all of the following EXCEPT:

Bank may serve as trustee or custodian for pension and profit sharing plans that self- employed individuals establish for them selves and their employees. These types of trust are referred to as:

A bond currently priced at $1,250 with a 10% nominal yield of $100 would have a current field of _____________. The same bond priced at $800 would have a current yield of __________.

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

Which of the following statements is NOT related to competency principle of internal auditing? Internal auditors:

__________ allows businesses that sell durable goods such as auto-mobiles to finance inventories. As the business sells goods, the loan advance against those goods is repaid.

Historical simulation and model based approach are the methods to calculate:

COBIT (Control Objectives for Information and Related Technology) is based on existing Information Systems Audit and Control Foundation, control objectives enhanced with existing and emerging international technical, professional, regulatory, and industry-specific standards. COBIT has four domains or high-level classifications. Which is of the following is NOT out of those domains?

Standard and poor's 500 index, the Dow Jones Industrial average, or the Toronto stock Exchange index is the examples of:

Auditors must use professional judgment to determine the impact a risk factor may have on the use off audit resources. Risk can be controlled by various preventive measures such as:

In case of an annuity with a spread of 3%, if the index gained 9%, the return credited to the annuity would be: