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NEW QUESTION: 1
When a client engages in transactions involving derivatives, the auditor should:
A. Confirm with the client's broker whether the derivatives are for trading purposes.
B. Notify those charged with governance about the risks involved in derivative transactions.
C. Develop an understanding of the economic substance of each derivative.
D. Add an explanatory paragraph to the auditor's report describing the risks associated with each
derivative.
Answer: C
Explanation:
Explanation/Reference:
Explanation:
Choice "D" is correct. In auditing investments in securities and derivatives, the auditor must assess the
reasonableness and appropriateness of assumptions, market variables, and valuation models. In order to
do this, the auditor must consider whether the substance of transactions or events differs materially from
their form. Remember that generally accepted accounting principles require transactions and events to be
reported in accordance with their economic substance, even if this differs from their form.
Choice "B" is incorrect. While the auditor might confirm settled and unsettled transactions with the broker,
whether a security is held for trading purposes is based on management intent and would not be
confirmed with the broker.
Choice "C" is incorrect. There is no requirement that the auditor notify those charged with governance
about the risks involved in derivative transactions.
Choice "D" is incorrect. There is no requirement that the auditor add an explanatory paragraph to the
auditor's report describing the risks associated with each derivative.

NEW QUESTION: 2
A file sharing application is being permitted and no one knows what this application is used for.
How should this application be blocked?
A. Create a File blocking profile that blocks Layer 4 and Layer 7 attacks
B. Block all known internal custom applications
C. Create a WildFire Analysis Profile that blocks Layer 4 and Layer 7 attacks
D. Block all unauthorized applications using a security policy
Answer: A

NEW QUESTION: 3

A. Option C
B. Option D
C. Option A
D. Option B
Answer: B,D
Explanation:
To meet the requirements, set a reservation for CPU resources on the manufacturing resource pool. You also need to make sure the shares set on the Manufacturing pool are at least 5 times the shares set on Development pool since they are required to be powered on always.

NEW QUESTION: 4
Which three statements about service provider network requirements are true? (Choose three.)
A. Service providers connect customers to the Internet.
B. Multiple access technologies are supported.
C. Service provider networks are becoming more specialized, with providers offering only one service.
D. Jitter and packet loss are no longer an issue.
E. Customers can connect directly using copper, wireless, or fiber-optic links.
Answer: A,B,E