The market research department of Tetro plc increasingly makes use of information from the internet to analyse its competitive environment and the market responses to new product offerings. Use of information from this source raises concerns regarding which characteristic of useful information?

Identify which of the following statements about an information processing system is correct.

The finance director of Amalgam plc wants to tell her fellow directors about what undermines the usefulness of published financial statements. Which three of the following issues should she highlight in this regard?

Megasave Supermarkets operates a chain of discount food stores. The company's point-of-sale terminals produce information that is used by the logistics division to determine delivery requirements for each store. To be effective, the logistics division's information processing must meet the criteria of completeness, timeliness and verifiability. Which three of the following criteria must also be met?

The finance function of Almerica plc uses check digits and control totals in its financial reporting system to maintain its integrity. These two input controls are a form of:

Financial statements must be prepared in a way that considers materiality. This is an aspect of which of the following characteristics of financial information?

The chief executive of Rumbold plc is not sure how useful the company's financial statements are. The finance director of the company has identified that they help shareholders make decisions. In addition the statement of profit or loss and the statement of financial position serve the useful purpose of:

For financial information to meet its objectives it must be prepared on the basis of which two underlying assumptions?

A system that aims to increase the productivity of data and information workers is:

Which characteristic of big data is described by the statement below?

Big data is available in a large range of areas.

Which of the following describes a characteristic of big data?

Which three of the following statements about data analytics are correct?

Which of the following statements about data analytics is correct?

Which of the following is an advantage of cloud accounting?

Big data can be classified into a number of types, including structured and unstructured data.

Which of the following is an example of structured big data?

Which of the following are sources of big data?

1. The internet of things
2. A business's internal computer system
3. Social media
4. Blogs

In regard to cyber attacks, which three of the following have been identified by McKinsey as ways in which big data and data analytics can assist a business?

Which of the following describes distributed ledger technology?

The following statements have been made about data science.

Statement (1) Data science concerns the tools and methods used to obtain and manage data

Statement (2) Data science concerns the extraction of value from data and translating it into a product.

Identify whether each statement is accurate.

The following statements have been made about digital assets.

Statement (1) Digital files are only classified as digital assets if the right to use the file is included

Statement (2) Digital assets cease to exist when technology progresses

Identify whether each statement is accurate.

Marcus works in the finance function of Everard Ltd to determine the precise unit cost of a range of products. He also prepares reports on variances from the standard cost per unit that he has calculated. It is clear, therefore, that Marcus is employed by Everard Ltd in its:

Hayley is an accountant with Worricker plc. Hayley has joined a project team examining the cost structure of Worricker plc compared with its major competitors. She has been recruited into this project team in order to exploit her expertise in:

Which section of a company's finance function has primary responsibility for ensuring the sound stewardship by managers of the resources entrusted to them?

Zuma plc wants to introduce a control activity to address a problem that has come to light. The problem was that a manager authorised and paid for a sun-lounger from his department's petty cash box and then had it delivered to his home for private use. No one within Zuma plc had been aware of the transaction. The required control activity would be:

The Financial Reporting Council's (FRC's) guidance on risk management and internal control states that, when assessing the constituents of a sound system of internal control, managers should look at the:

The directors of Dorntree plc have reduced the costs of producing one of their key products, the Palma. At the same time, they have implemented action plans to achieve the product's market share target of 22%. It is clear that the directors have focused their efforts for the Palma on:

Brenda works for Wensley plc and is preparing a balanced scorecard. She has measures of the company's employee retention rate and the average time it takes the company to bring a new product to market. In the scorecard, Brenda should include these two measures with the:

In order to assess its sustainability management using the Global Reporting Initiative (GRI), under which three headings should an organisation produce performance measures?

Jean-Luc's employer, Breathe Ltd, supports the UN Global Goals for Sustainable Development. Jean-Luc has been asked to research how Breathe Ltd might measure its use of natural capital. He has found the following statements on the internet but is not sure whether they are accurate or not.

Statement (1) The Natural Capital Code is a framework that a business can use to measure its use of natural capital

Statement (2) Measuring an organisation's use of natural capital supports the UN Global Goals for Sustainable Development

Identify whether each statement is accurate.

In a typical financial system, the biggest savers are usually:

Metrofick Ltd is a small family business that has only been in existence for a few months. Its managing director wants to establish a payroll system for the newly recruited workforce of 25 staff. She wants salary payments to be made direct to the bank accounts of employees, with a minimum of paperwork and delay. The managing director should ask the company's bank to use which of the following systems regarding the salary payments?

In the banking system, secondary banks are also known as:

In the UK, the base rate at which the central bank lends money to the banks is set by:

In relation to its customer who pays a cheque into their account, the receiving bank acts as the customer's:

The minimum investment that can be made in UK Treasury bills by members of the public is:

Which of the following statements about preference shares as a source of capital for a company is correct?

Which of the following is a correct statement of the relative importance to listed companies of different sources of finance, assuming a scale of 1 = most important?

In relation to a listed company which is raising new finance, an offer for sale is a form of:

In order to obtain a full listing on the London Stock Exchange the company must have traded for a minimum of:

Frosty Ltd operates with a permanent overdraft of between £15,000 and £20,000. Its net working capital requirement never exceeds £12,000. What is the greatest source of risk in this situation for Frosty Ltd?

Iniquit Ltd is having financial difficulties. A commercial organisation has offered to give Iniquit Ltd loan finance and insurance in respect of its receivables ledger so that, even if a customer does not pay, Iniquit Ltd does not have to repay the loan. This commercial organisation is seeking to act as:

When conducting an export business, the possibility of payment default by the customer is called:

Which two of the following items may be discounted by an exporter so that payment from a customer is received early?

Anton Ltd has purchased a building society bond for £10,000 which matures in five years with an annual interest of base rate +1%. The terms of the bond state that Anton Ltd is guaranteed to receive at least £10,000 in five years' time.

Which of the following risks has Anton Ltd avoided?

Flush plc is considering applying for an overdraft facility. Its chairman is concerned about this and has made the following statements.

Statement (1) I do not want Flush to apply for a large overdraft, because interest is paid on the full facility

Statement (2) The facility is repayable on demand, which makes it risky as a form of long term finance

Identify whether each statement is accurate.

Which two of the following are 'reserved areas' of professional accountancy practice?

Which of the following statements concerning the fundamental accounting principles is correct?

The accounting principle of 'faithful presentation' states that the information contained in a company's financial statements must be:

Rania is an accountant involved in the audit of Chester plc. She has considered the relevant financial reporting standards but is still unsure of the accounting treatment of one particular transaction in the company's financial statements. To inform the professional judgement that Rania needs to make she should, therefore, consider:

The financial statements of Argot plc are delayed by extensive enquiries into the company's accounting records. Which characteristic of the information contained in the company's financial statements is undermined by this undue delay?

The Finance Director of Switch Ltd sent an email to all staff in the Finance function reminding them of the importance of applying the same accounting methods and procedures from one accounting period to the next.

Which fundamental accounting principle is the Finance Director attempting to uphold?

Homey plc is a company that provides a range of plumbing and boiler repair services to the general public. Under the accruals basis of accounting, at which point should the company's revenue be recorded and reported?

To qualify for appointment by a company as its external (statutory) auditor, a person must comply with which three requirements?

An accounting principle ensures that users of financial statements are informed about a transaction in the period in which it occurs, even if cash is settled in respect of the transaction in an earlier or later period. This is the:

The following statements have been made concerning the impact of technology on accounting.

Statement (1) Automation has impacted on strategic-level accounting

Statement (2) Accountants need to be prepared to provide advice on how clients should account for technological innovations

Identify whether each statement is accurate.

The following statements have been made concerning the impact of technology on auditing.

Statement (1) Audit analytics and intelligent systems allow 100% testing of transactions

Statement (2) Predictive analytics allows better targeting of risk

Identify whether each statement is accurate.

Acton plc is a FTSE 100 company. A shareholder is concerned that the company has departed from the requirements for its financial statements in the Companies Act 2006. Which part of the Financial Reporting Council may be called upon to enquire into the matter?

Bedford & Co, a firm of chartered accountants, has recently been offered a caution by ICAEW's Investigation Committee. This means that there will be:

Which three of the following are covered by the complaints and disciplinary procedures of ICAEW's Professional Standards department?

Tim, a chartered accountant, is the subject of a complaint by one of his clients. Which of the following steps will happen first in ICAEW's complaints and disciplinary procedure?

ICAEW's Investigation Committee looked into a complaint brought by a client against Dobcross & Co, a firm of chartered accountants. The Investigation Committee found there was a case to answer. However, it considered that the matter was not serious enough either to exclude the firm from membership or to suspend its practising certificate. In such circumstances, the Investigation Committee will:

Nisar has no professional accounting qualifications so he is not a member of one of the bodies in the Consultative Committee of Accountancy Bodies (CCAB). He is supervised for money laundering by an approved body, however. As a result, which statement is correct?

The body responsible for ensuring that self-regulation of the accountancy profession in the UK is effective is the:

The Financial Reporting Council's UK Corporate Governance Code forms part of the:

In which of the following areas does the Financial Reporting Council's (FRC's) Conduct Committee have statutory powers?

ICAEW's Investigation Committee has received a complaint from a client of Wenham & Co, a firm of chartered accountants. The firm has agreed that the complaint is valid. Which of the following options may the Investigation Committee now take?

Katia qualified as an accountant a number of years ago and provides a basic bookkeeping service for sole traders and limited companies. Last year she forgot to renew her membership and is no longer a member of an accountancy body.

Statement (1) Katia is legally allowed to call herself an accountant

Statement (2) Katia is required to be supervised for money laundering purposes

Identify whether each statement is accurate.

The following statements concern the regulation of the accountancy profession.

Statement (1) Government agencies may regulate the profession via delegated legislation

Statement (2) The profession can regulate itself to a degree

Identify whether each statement is accurate.

Professionals judge each other, and hold each other to account, for not meeting professional values, such as bringing the profession into disrepute. C9

Which common attribute of a profession does this describe?

Which three of the following are areas of importance to the professional accountant in regards to working in the public interest?

Confidence in the accounting profession's expertise and integrity is demonstrated by:

Which of the following statements about the impact of technology on accounting and auditing is/are true?

1 Automation reduces the amount of transaction-level work accountants need to do, allowing them more time to perform value-adding roles.

2 Distributed ledgers increase the need for auditors to audit individual transactions and to verify the ownership of assets.