Which of the following does not affect the net present value of an investment

Which of the following does not affect the net

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61.Which of the following does not affect the net present value of an investment proposal?a.The timing of future cash flowsb.Opportunity costsc.The cost of the investmentd.The discount rate used by the investorAnswer: B62.Qualitative factors can influence managers to
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Management Consultancy Practice by CPAs63.A personal attribute of a consultant that refers to his/her ability to view situations in perspective and to take action needed on a calm and controlled basis without being diverted from a sound, logical, and ethical course by outside pressure64.To attain the highest standards of professionalism, highest levels of performance and meet public interest requirement, a CPA who provides management consultancy services should meet the following basic requirements except65.These involve services related to mergers, acquisitions, divestitures, joint ventures, spin-off and strategic alliancea.Strategic risk managementb.Compliance risk managementc.Due diligence auditd.Financial risk managementAnswer: C66.Factors that must be considered when defining the target level of competence of management consultants include the following except:67.Consultants could trace most of their current engagements to the following sources except68.A consultant’s ability to identify what information is needed in a particular situation is an example of69.Which of the following statements is true?a.In management services engagement, the independent CPA renders technical adviceb.A CPA in a management services engagement may take position that would impair its independence if the client is not his audit client at the same timec.Strict adherence to generally accepted accounting principles in MAS is requiredd.A non-CPA is prohibited under the revised accountancy law to engage in professional management advisory services practiceAnswer: A
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70.A CPA should reject an MAS engagement if
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  • Spring '16
  • Prof. Fernandez
  • Accountant

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