Cyber Monday 2024! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Free Preparation Discussions
MENU
IMANET Exam CMA Topic 1 Question 13 Discussion
Actual exam question for
IMANET's
CMA exam
Question #: 13
Topic #: 1
[All CMA Questions]
Topic #: 1
Post-investment audits?
Suggested Answer:
B
Post-investment audits should be conducted to serve as a control mechanism and to deter managers from proposing unprofitable investments. Actual-to-expected cash flow comparisons should be made, and unfavorable variances should be explained. Individuals who supplied unrealistic estimates should have to explain Differences.
Currently there are no comments in this discussion, be the first to comment!