IIA Exam IIA-CFSA Topic 1 Question 53 Discussion

Actual exam question for IIA's IIA-CFSA exam

Question #: 53
Topic #: 1

[All IIA-CFSA Questions]

Some objectives of an audit related to mutual funds might include determining that:

AMutual fund checks are issued in accordance with firm policies and supported by valid trades

BMutual fund purchases are confirmed on a timely basis

CMutual fund switches are not authorized by the client

DAll EXCEPT ''C''

Show Suggested Answer

Suggested Answer: D

by Claudio at May 29, 2024, 05:42 AM

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Kassandra

8 months ago

Haha, I bet the auditor would have a field day if they found out the firm was issuing mutual fund checks without valid trades! Option A all the way.

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Coral

7 months ago

Definitely, option A is the way to go to ensure everything is in order.

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Lavonne

7 months ago

I agree, issuing checks without valid trades is a big no-no.

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Isabelle

8 months ago

Hmm, I'm not sure about this one. Option A seems a bit too specific, while C is the opposite of what we want. I'll go with D just to be safe.

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Gearldine

8 months ago

Option B seems like the most relevant one to me. Verifying that purchases are confirmed on a timely basis is crucial for ensuring the accuracy of the fund's records.

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Jerry

7 months ago

Option B is essential for the audit objectives related to mutual funds.

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Britt

8 months ago

Definitely, it helps maintain the accuracy of the fund's records.

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Marvel

8 months ago

I agree, making sure purchases are confirmed on time is key.

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Harris

9 months ago

I agree with Abraham. It makes sense to ensure all objectives are met except for unauthorized switches.

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Abraham

9 months ago

I think the answer is D.

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Lynelle

9 months ago

I think option D is the correct answer here. The audit should ensure that mutual fund switches are authorized by the client, not the opposite.

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Bev

7 months ago

B) Mutual fund purchases are confirmed on a timely basis

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Gabriele

7 months ago

A) Mutual fund checks are issued in accordance with firm policies and supported by valid trades

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Ruthann

8 months ago

Yes, that's right. The audit needs to ensure that all other options are met, except for unauthorized mutual fund switches.

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Lashon

8 months ago

I agree, option D makes the most sense. It's important for the audit to verify that mutual fund switches are authorized by the client.

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Louvenia

8 months ago

Yes, I think so too. It's important for the audit to verify that all transactions are in line with firm policies and supported by valid trades.

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Estrella

9 months ago

I agree, option D makes sense. The audit should definitely ensure that mutual fund switches are authorized by the client.

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