CDMS-SP2.0 Exam Questions and Answers

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NEW QUESTION: 1
Which of the following description about the relationship between the Poisson distribution and the binomial distribution is correct?
A. Poisson distribution can replace binomial distribution
B. The mathematical model of the Poisson distribution and the binomial distribution are both Lagrangian models.
C. Poisson distribution is an approximation of the binomial distribution when n is very large and p is small.
D. Poisson distribution has no relationship with binomial distribution
Answer: C

NEW QUESTION: 2
The management of Tory Bank Ltd suspects that a bank loan officer frequently made loans to fictitious companies, disbursed loan proceed to his wife's accounts, and then the loan has been written-off as irrecoverable. Some significant facts about the loan officer include
A high standard of living, explained as the result of sound investments and not taking vacations
An expensive personal car obtained through business contacts
Gasoline and repair bills submitted for an assigned company car that is higher than company average (mileage logs were submitted on a quarterly basis)
Marked annoyance with questions from auditors
The above fraud would least likely be discovered by
A. Analysis of total dollar volume of loans by loan officer.
B. External or internal audits of loan files.
C. Analyses of the number of loans made by each loan officer.
D. Reconciliation of total loans outstanding to the general ledger balance.
Answer: D


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