CBS Compliance & Risk Assessment

Question 1

What is the primary purpose of compliance in financial management?

Accepted Answer

To adhere to legal and regulatory standards

Answer

To increase financial risks

Answer

To avoid financial reporting

Answer

To ignore risk management strategies

Question 2

Which tool is commonly used for risk assessment in financial planning?

Accepted Answer

Risk matrix

Answer

Customer feedback surveys

Answer

Company newsletters

Answer

Annual employee reports

Question 3

Why is internal auditing important for compliance?

Accepted Answer

To identify discrepancies and ensure compliance

Answer

To delay financial reporting

Answer

To eliminate financial oversight

Answer

To ignore regulatory requirements

Question 4

What is a key benefit of risk assessment in business?

Accepted Answer

To anticipate threats and develop mitigation strategies

Answer

To increase financial instability

Answer

To avoid strategic planning

Answer

To ignore business risks

Question 5

Which compliance framework is commonly used in financial risk management?

Accepted Answer

Sarbanes-Oxley Act (SOX)

Answer

Customer service policy

Answer

Social media guidelines

Answer

Employee vacation policy

Question 6

Why is continuous monitoring important in risk management?

Accepted Answer

To detect emerging risks and adjust strategies

Answer

To maintain outdated compliance policies

Answer

To ignore financial discrepancies

Answer

To eliminate financial oversight measures