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Identify, from the list provided, which category of business risk most accurately describes the events detailed below
DRAG DROP Identify, from the list provided, which category of business risk most accurately describes the events detailed below. View AnswerAnswer:
Which of the following statements are true and which are false?
DRAG DROP The internal audit department should always give a report at the end of its audit. This report is intended to be useful and help the company going forward. The report should always include any recommendations for improvements. Which of the following statements are true and which are false?...
As part of risk assessment exercise for a low-cost airline you are requested to match the risks listed below with the most approriate method of minimising or dealing with each risk
DRAG DROP As part of risk assessment exercise for a low-cost airline you are requested to match the risks listed below with the most approriate method of minimising or dealing with each risk. View AnswerAnswer:
A project requires a capital investment of £2.7million. The project will save £450,000 each year after taxation. Assume the savings are in perpetuity. The business risk of the venture requires a 15% discount rate. The company has to borrow £1million to finance the project at a rate of 9% and the net tax shield is 30%, the project supports debt which generates an interest tax shield of 0.30 x 0.09 x £1million, which is £27,000 per year in perpetuity.
A project requires a capital investment of £2.7million. The project will save £450,000 each year after taxation. Assume the savings are in perpetuity. The business risk of the venture requires a 15% discount rate. The company has to borrow £1million to finance the project at a rate of 9% and...
As part of risk assessment exercise for a low-cost airline you are requested to match the risks listed below with the most approriate method of minimising or dealing with each risk
DRAG DROP As part of risk assessment exercise for a low-cost airline you are requested to match the risks listed below with the most approriate method of minimising or dealing with each risk. View AnswerAnswer:
Which THREE of the following are characteristics of a Firewall?
A Firewall is an element of a company's Information Technology infrastructure. Which THREE of the following are characteristics of a Firewall?A . A Firewall determines the boundary of the "Trusted" components of the company's Information Technology infrastructure.B . A Firewall protects sensitive data against accidental or malicious damage.C . A...
Which of the following might be valid explanations for the use of a money market hedge for this purpose?
The treasurer of IOK is considering entering into a money market hedge in order to hedge a payable. Which of the following might be valid explanations for the use of a money market hedge for this purpose?A . There are no forward contracts available for the purchase of the payable...
Which of the following represents the greatest risk associated with introducing a system of post-completion audit for investment projects?
Which of the following represents the greatest risk associated with introducing a system of post-completion audit for investment projects?A . Decision makers may be deterred from taking responsible risks.B . The entity will realise that its approach to project appraisal is flawed.C . The audit itself will waste time.D ....
Which of the following statements is consistent with these figures?
DFG's home currency is the D$. DFG is heavily exposed to the exchange rate between the D$ and the L$, country L's currency. DFG's treasurer has noted the following: • Inflation has been running at 5% in DFG's home country and 8% in country L • Interest rates are 7%...
Which of the following are COSO key principles?
The Committee of Sponsoring Organisations (COSO) outlined six key principles of Enterprise Risk Management (ERM). Which of the following are COSO key principles?A . The creation of a risk aware culture.B . A comprehensive and holistic approach to risk management.C . Risk management is the responsibility of the risk committee.D...
