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Exam Code: IIA-CIA-Part1
Exam Name: Essentials of Internal Auditing
Vendor: IIA

60 Questions & Answers
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NEW QUESTION: 1
Which of the following attributes of an investment are affected by changes in leverage:
A. All of the above
B. risk and return
C. Sharpe ratio
D. Information ratio
Answer: B
Explanation:
Explanation
Explantion:
Changing leverage does not affect the Sharpe ratio or the Information ratio. However, leverage magnifies both risk and return. Therefore Choice 'b' is the correct answer.Recall that Sharpe ratio is the ratio of the excess returns (over the risk free rate) of an investment to its standard deviation, and the information ratio is the ratio of the 'alpha' returns to the standard deviation of such returns.

NEW QUESTION: 2
HOTSPOT


Answer:
Explanation:


NEW QUESTION: 3
Identify four actions that the Manage Requisition Approval task enables you to perform.
A. register an internal and external Supplier
B. define rule actions by using Supervisory Hierarchy or Position Hierarchy
C. create rules by using simple or nested conditions
D. maintain user-defined attributes and use these attributes with rules
E. enable or disable a participant
Answer: B,C,D,E
Explanation:
The new Manage Requisition Approval task provides a simple and user-friendly interface for approval rules management. This task allows you to:
* Enable or disable a participant.
* Create rules using simple or nested conditions. Condition attributes displayed in this interface are consistent with the attribute names displayed in the application. Attribute values can be chosen from a List of Values or a Choicelist, when applicable.
* Define rule actions that:
o Use Supervisory Hierarchy, Job Level, Position Hierarchy, Approval Group, Single User, or Custom routings.
o Require approvals, automatically approve, or send information notifications.
* Mark a rule active or inactive.
* Maintain user-defined attributes and use these attributes across rules.
o Currency based attributes are used to setup conversions of amount or price type attributes to a specific currency used in rule evaluations.
o Custom attributes are used to achieve complex approval requirements and custom approval lists and map to the Procurement Custom Function output.
o Summation attributes support the aggregation of data across lines or distributions based on a set of filters. The filters can be set up using requisition attributes or based on roll-ups in the Procurement Category Hierarchy, Cost Center, Balancing Segment, Management Segment, or Natural Account hierarchies


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