(b) (i) Discuss the relationship between the concepts of ‘business risk’ and ‘financial statement risk’; and(4 marks)
(b) (i) Discuss the relationship between the concepts of ‘business risk’ and ‘financial statement risk’; and
(4 marks)
相关考题：
Risk Event Status is defined as _____ .A Risk Probability x Amount At Stake.B the severity of the consequences.C how likely the event is to occur with risk.D (Cost + Benefit + Business Risk) / Insurable Risk.E B and C
Risk can be divided into two basic types; business risk and pure (or insurable risk). Of the following, which one(s) fall(s) under business risk?A liability lossB direct property lossC profit lossD personnel-related lossE B and C
84 Risk can be divided into two basic types; business risk and pure (or insurable risk). Of the following, which one(s) fall(s) under business risk?A. liability lossB. direct property lossC. profit lossD. personnel-related lossE. B and C
70 Risk Event Status is defined as _____ .A. Risk Probability x Amount At Stake.B. the severity of the consequences.C. how likely the event is to occur with risk.D. (Cost + Benefit + Business Risk) / Insurable Risk.E. B and C
2 (a) Discuss the nature of the financial objectives that may be set in a not-for-profit organisation such as a charityor a hospital. (8 marks)
(b) Discuss how the operating statement you have produced can assist managers in:(i) controlling variable costs;(ii) controlling fixed production overhead costs. (8 marks)
(c) Discuss the ways in which budgets and the budgeting process can be used to motivate managers toendeavour to meet the objectives of the company. Your answer should refer to:(i) setting targets for financial performance;(ii) participation in the budget-setting process. (12 marks)
(b) (i) Discuss the main factors that should be taken into account when determining how to treat gains andlosses arising on tangible non-current assets in a single statement of financial performance. (8 marks)
(b) Prepare a consolidated statement of financial position of the Ribby Group at 31 May 2008 in accordancewith International Financial Reporting Standards. (35 marks)
(b) Discuss how management’s judgement and the financial reporting infrastructure of a country can have asignificant impact on financial statements prepared under IFRS. (6 marks)Appropriateness and quality of discussion. (2 marks)
(b) Discuss the relative costs to the preparer and benefits to the users of financial statements of increaseddisclosure of information in financial statements. (14 marks)Quality of discussion and reasoning. (2 marks)
(b) Explain the meaning of Stephanie’s comment: ‘I would like to get risk awareness embedded in the cultureat the Southland factory.’ (5 marks)
(b) Distinguish between strategic and operational risks, and explain why the secrecy option would be a sourceof strategic risk. (10 marks)
(c) Risk committee members can be either executive or non-executive.Required:(i) Distinguish between executive and non-executive directors. (2 marks)
(c) Define ‘market risk’ for Mr Allejandra and explain why Gluck and Goodman’s market risk exposure isincreased by failing to have an effective audit committee. (5 marks)
(ii) Briefly discuss FOUR non-financial factors which might influence the above decision. (4 marks)
5 A management accounting focus for performance management in an organisation may incorporate the following:(1) the determination and quantification of objectives and strategies(2) the measurement of the results of the strategies implemented and of the achievement of the results through anumber of determinants(3) the application of business change techniques, in the improvement of those determinants.Required:(a) Discuss the meaning and inter-relationship of the terms (shown in bold type) in the above statement. Youranswer should incorporate examples that may be used to illustrate each term in BOTH profit-seekingorganisations and not-for-profit organisations in order to highlight any differences between the two types oforganisation. (14 marks)
(ii) Briefly discuss THREE disadvantages of using EVA? in the measurement of financial performance.(3 marks)
John Pentanol was appointed as risk manager at HZ Company a year ago and he decided that his first task was to examine the risks that faced the company. He concluded that the company faced three major risks, which he assessed by examining the impact that would occur if the risk were to materialise. He assessed Risk 1 as being of low potential impact as even if it materialised it would have little effect on the company’s strategy. Risk 2 was assessed as being of medium potential impact whilst a third risk, Risk 3, was assessed as being of very high potential impact.When John realised the potential impact of Risk 3 materialising, he issued urgent advice to the board to withdraw from the activity that gave rise to Risk 3 being incurred. In the advice he said that the impact of Risk 3 was potentially enormous and it would be irresponsible for HZ to continue to bear that risk.The company commercial director, Jane Xylene, said that John Pentanol and his job at HZ were unnecessary and that risk management was ‘very expensive for the benefits achieved’. She said that all risk managers do is to tell people what can’t be done and that they are pessimists by nature. She said she wanted to see entrepreneurial risk takers in HZ and not risk managers who, she believed, tended to discourage enterprise.John replied that it was his job to eliminate all of the highest risks at HZ Company. He said that all risk was bad and needed to be eliminated if possible. If it couldn’t be eliminated, he said that it should be minimised.(a) The risk manager has an important role to play in an organisation’s risk management.Required:(i) Describe the roles of a risk manager. (4 marks)(ii) Assess John Pentanol’s understanding of his role. (4 marks)(b) With reference to a risk assessment framework as appropriate, criticise John’s advice that HZ shouldwithdraw from the activity that incurs Risk 3. (6 marks)(c) Jane Xylene expressed a particular view about the value of risk management in HZ Company. She also said that she wanted to see ‘entrepreneurial risk takers’.Required:(i) Define ‘entrepreneurial risk’ and explain why it is important to accept entrepreneurial risk in businessorganisations; (4 marks)(ii) Critically evaluate Jane Xylene’s view of risk management. (7 marks)
(b) Describe the potential benefits for Hugh Co in choosing to have a financial statement audit. (4 marks)
3 (a) Financial statements often contain material balances recognised at fair value. For auditors, this leads to additionalaudit risk.Required:Discuss this statement. (7 marks)
(c) Identify and discuss the implications for the audit report if:(i) the directors refuse to disclose the note; (4 marks)
听力原文：Seeking to maximize profits by assuming inappropriately large financial risk can cause investors to lose sleep.(2)A．Assuming inappropriately large financial risk can cause investors to lose sleep.B．Financial risk will not cause investors to lose sleep.C．Seeking to maximize profits appropriately can cause investors to lose sleep.D．No matter how much they earn, the investors will lose sleep.
单句理解听力原文：Interest rate risk refers to the exposure of a bank's financial condition to adverse movements in interest rates.(1)A．Bank's financial condition is the cause of interest rate risk.B．Bank's financial condition has impact on interest rate risk.C．Interest rate risk occurs when interest rate moves against the bank's financial condition.D．Interest rate risk occurs when interest rate favours the bank's financial condition.
JJG Co is planning to raise $15 million of new finance for a major expansion of existing business and is considering a rights issue, a placing or an issue of bonds. The corporate objectives of JJG Co, as stated in its Annual Report, are to maximise the wealth of its shareholders and to achieve continuous growth in earnings per share. Recent financial information on JJG Co is as follows:Required:(a) Evaluate the financial performance of JJG Co, and analyse and discuss the extent to which the company has achieved its stated corporate objectives of:(i) maximising the wealth of its shareholders;(ii) achieving continuous growth in earnings per share.Note: up to 7 marks are available for financial analysis.(12 marks)(b) If the new finance is raised via a rights issue at $7·50 per share and the major expansion of business hasnot yet begun, calculate and comment on the effect of the rights issue on:(i) the share price of JJG Co;(ii) the earnings per share of the company; and(iii) the debt/equity ratio. (6 marks)(c) Analyse and discuss the relative merits of a rights issue, a placing and an issue of bonds as ways of raising the finance for the expansion. (7 marks)
Which of the following scheduling methods uses more of the risk management concepts（ ） .A.ADMB.PDMC.CPMD.PERT