Online Access Free CIMA.P3.v2024-04-30.q134 Practice Test (Page 13)

P3 Exam Question 56

Which of the following statements are true of residual risk?

A.Residual risk is the risk that remains after risk mitigation has taken place.

B.Residual risk may be accepted if management feels the company can bear the risk.

C.Residual risk should never be accepted.

D.If residual risk is too great then the company should not expose itself to the risk situation.

E.Residual risk has to be accepted.

P3 Exam Question 57

C is a large international supermarket chain. It has many thousands of suppliers and many thousands of potential suppliers competing for shelf space m its supermarkets.
Which of the following provisions would be appropriate for C to include m its ethical code in relation to its suppliers?
Select ALL that apply

A.C shall not use its buying power unscrupulously.

B.C shall endeavour to take as high a percentage of each supplier's output as possible

C.C shall keep confidential all information received from suppliers and potential suppliers

D.Cshall continuously remind suppliers that it always has several alternative suppliers to choose from.

E.C shall endeavour to adhere to the terms of its contracts with its suppliers at all times

F.C shall insist on an exclusivity agreement with each supplier so that identical products are not available from other outlets

P3 Exam Question 58

The senior manager in the accounts department is going on annual leave for three weeks and Jo, a supervisor is being put in charge of the department for that time.
Which TWO of the following statements are correct?

A.Jo should not have all of the same authority as the senior manager

B.Authorisation of expenses should wait until the senior manager returns.

C.The annual staff appraisals should be postponed until the senior manager returns

D.Authorisation of exceptional overtime due to the year end which takes place while the senior manager is on leave should be postponed until the senior manager returns

E.Job interviews for an office junior should be cancelled until the senior manager returns.

P3 Exam Question 59

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.