CPA Business Environment and Concepts (BEC) : IT Governance
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Example Questions
Example Question #1 : It Governance
A research-based firm in the medical field could use each of the following Internet-based tools for collaboration except:
Groupware systems
Electronic data interchange
Videoconferencing
An email application
Electronic data interchange
EDI is a computer to computer exchange of business transaction documents. It is not used for collaboration between humans.
Example Question #1 : Technology Process Management
Engaging in traditional electronic data interchange (EDI) provides which of the following benefits?
Guaranteed payments from customers
Reduced likelihood of stockout costs
Added flexibility to entice new partners
Enhanced audit trails
Reduced likelihood of stockout costs
EDI is the exchange of business transaction documents from one computer to another. This is much more efficient than paper exchanges and reduces the likelihood of stockout costs.
Example Question #2 : It Governance
All of the following statements regarding project risk are correct except:
Planning for risk management includes risk assessment
Risk control includes anticipating everything that could go wrong throughout the project plans
Risk is inherent in every aspect of the project management process
There is always a tradeoff between risk and reward
Risk control includes anticipating everything that could go wrong throughout the project plans
Anticipating everything that could go wrong throughout the project plans is a part of risk assessment, not risk control.
Example Question #3 : It Governance
A manufacturer that wants to improve its staging process compares its procedures against the check-in process for a major airline. Which of the following tools is the manufacturer using?
Total quality management
Statistical process control
Economic value added
Benchmarking
Benchmarking
Benchmarking is a process where a company compares itself to peers to measure performance and to understand where improvements can be made in its processes.
Example Question #4 : It Governance
Which of the following statements is correct regarding IT governance?
A primary goal of IT governance is to balance risk versus return over IT and its processes.
IT governance is an appropriate issues for organizations at the level of the board of directors only.
IT governance requires that the Control Objectives for Information and related Technology (COBIT) framework be adopted and implemented
IT goals should be independent of strategic goals
A primary goal of IT governance is to balance risk versus return over IT and its processes.
Risk management is one of the primary goals of IT governance, as the inevitable risks inherent in IT must always be balanced against the potential returns associated with an IT infrastructure.
Example Question #6 : It Governance
An IT governance framework should answer all of the following questions except:
What key metrics does management need
Will the IT system be asthetically pleasing
What does IT return to the business
How the IT department functions
Will the IT system be asthetically pleasing
IT governance is more focused on the operations and implementation of IT, rather than cosmetic approaches to systems.
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