RCMS Regulatory Frameworks & Standards 4

Question 1

Under the COSO Internal Control – Integrated Framework, which component addresses the processes used to identify and assess risks to achieving objectives?

Accepted Answer

Risk Assessment

Answer

The Risk Assessment component of COSO involves identifying and analyzing relevant risks that may prevent achievement of organizational objectives.

Question 2

Which EU regulation, effective 2023, requires large companies to conduct due diligence on human rights and environmental impacts across their supply chains?

Accepted Answer

Corporate Sustainability Due Diligence Directive

Answer

The Corporate Sustainability Due Diligence Directive (CS3D) mandates that large EU companies identify and address adverse human rights and environmental impacts in their value chains.

Question 3

In U.S. financial regulation, Regulation O governs which type of transactions?

Accepted Answer

Loans to executive officers and directors of banks

Answer

Regulation O restricts credit extensions by member banks to their own executive officers, directors, principal shareholders, and their related interests.

Question 4

A compliance officer is mapping controls to regulatory requirements. Which approach ensures that each regulation has at least one control addressing it?

Accepted Answer

Regulatory gap analysis

Answer

A regulatory gap analysis systematically compares existing controls against regulatory requirements to identify areas lacking adequate coverage.

Question 5

The UK Bribery Act 2010 differs from the U.S. FCPA primarily because it:

Accepted Answer

Covers both public and private sector bribery

Answer

Unlike the FCPA, the UK Bribery Act covers bribery in both the public and private sectors and includes an offense of failing to prevent bribery.

(RCMS) Registered Compliance Management Specialist Certification Practice Test

(RCMS) Registered Compliance Management Specialist Certification Practice Test

RCMS Regulatory Frameworks & Standards 4