P3 Exam Dumps : Risk Management

GDD's Internal Audit Department should have cancelled the order.

GDD's directors are ultimately responsible for M's error

M should be disciplined for exceeding his authority

should have made certain that M knew and understood the limits of his responsibility

The investigation of this matter was a waste of time because the pellets were urgently required

There are no forward contracts available for the purchase of the payable currency using IOK's home currency.

The timing of the payable does not permit the use of a forward contract.

The relevant currency markets are very thinly traded and the treasurer believes that forward contracts are mispriced.

A money market hedge is easier and less expensive to organise than a future or forward contract.

Money market hedges can be unwound whereas positions in derivatives cannot.

D reviewed a sample of invoices for purchases of plant and equipment and found that C had not signed them C explained that she believed that those were authonsed by someone else although the accounts manual indicates that it was her responsibility

asked C a series of open-ended questions about the operation of the purchases system She did not mention anything about detailed checks of invoices against documents

D examined a sample of invoices to make sure that they had been signed by C AH had been signed

selected a sample of purchase invoices and compared each to the supporting documents that C is supposed to review Every one of D's invoices was supported by the related documents

D worked at a spare desk in the accounts department and quietly watched C without telling her She checked every invoice carefully while D was present