BEC CPA EXAM QUESTIONS WITH 100%
VERIFIED ANSWERS [GRADED A+]
business process - ✔✔is a set of related activities and tasks brought
together to achieve a desired outcome. Typically, it is a series of tasks that
culminate in a product, service, or business goal.
operating processes - ✔✔the activities related to the business's core
objectives.
Projects are related activities that either - ✔✔(1) Are nonroutine
(2) contribute directly to achieving the business's core objectives but only
happen over an extended period.
What are the two main approaches to gaining an understanding of the
business model? - ✔✔Top-down approach and bottom-up approach. top
©morren2026/2027.Year published 2026.
,down is less detail: for large business. bottom ups is more details: small
business would probably use it.
What are key performance indicators (KPIs) used for? - ✔✔KPIs are used
to provide management with an indication of how well employees are
executing the processes and related activities. They are easily measurable
and observable, as well as highly relevant to the business process or
activity.
What is process mapping? - ✔✔Process mapping is a simple form of
flowcharting used to depict a business process.
What are four general types of business risks: - ✔✔Strategic
Compliance
Reporting
Operational
What is risk? - ✔✔Risk is the probability of an event occurring that will
have an impact on the achievement of objectives.
©morren2026/2027.Year published 2026.
,Contexts within which risks should be managed must be identified before
individual risks and include: - ✔✔Laws and regulations
Capital projects
Business processes
Technology
Market risk (e.g., interest rates, foreign exchange rates, equity investments)
Organizations
What does the risk assessment process involved - ✔✔It involves (1)
assessing the significance of an event, (2) assessing the event's likelihood,
and (3) considering the means of managing the risk. I remember the first
time I went to the dentist, I had a lot of cavities, as a result, there were
some impacts, they did x ray and let me know the short- and long-term
impact and how to move forward. the damage has been done, what is the
effect of it. the damage has been done; how do we respond? accept,
reduce. another keyword is change, has there been any change in internal
control, assess it adopt appropriate measure to reduce risk. In the deli,
when the online easy ordering was implemented, there was training to be
sure that the employees knows how to do it.
©morren2026/2027.Year published 2026.
, What does risk monitoring entail? - ✔✔Risk monitoring
(1) tracks identified risks,
(2) evaluates current risk response plans,
(3) monitors residual risks,
and (4) identifies new risks. every year, they take x ray of my mouth at the
dentist to check the effectiveness of internal control, to see if there's any
cavity, do I have oral cancer? keywork is continuously.
Risk is measured in terms of - ✔✔Probability and impact
What are the five basic responses to business risks? - ✔✔Acceptance
Avoidance
Pursuit
Reduction
Transfer (e.g., insurance transfers risks from the business to the insurer)
What are the three objectives of the COSO Internal Control - Integrated
Framework? - ✔✔Operations: Relate to achieving the entity's mission and
safeguarding assets
Reporting: Relate to preparing financial and nonfinancial reports
©morren2026/2027.Year published 2026.
VERIFIED ANSWERS [GRADED A+]
business process - ✔✔is a set of related activities and tasks brought
together to achieve a desired outcome. Typically, it is a series of tasks that
culminate in a product, service, or business goal.
operating processes - ✔✔the activities related to the business's core
objectives.
Projects are related activities that either - ✔✔(1) Are nonroutine
(2) contribute directly to achieving the business's core objectives but only
happen over an extended period.
What are the two main approaches to gaining an understanding of the
business model? - ✔✔Top-down approach and bottom-up approach. top
©morren2026/2027.Year published 2026.
,down is less detail: for large business. bottom ups is more details: small
business would probably use it.
What are key performance indicators (KPIs) used for? - ✔✔KPIs are used
to provide management with an indication of how well employees are
executing the processes and related activities. They are easily measurable
and observable, as well as highly relevant to the business process or
activity.
What is process mapping? - ✔✔Process mapping is a simple form of
flowcharting used to depict a business process.
What are four general types of business risks: - ✔✔Strategic
Compliance
Reporting
Operational
What is risk? - ✔✔Risk is the probability of an event occurring that will
have an impact on the achievement of objectives.
©morren2026/2027.Year published 2026.
,Contexts within which risks should be managed must be identified before
individual risks and include: - ✔✔Laws and regulations
Capital projects
Business processes
Technology
Market risk (e.g., interest rates, foreign exchange rates, equity investments)
Organizations
What does the risk assessment process involved - ✔✔It involves (1)
assessing the significance of an event, (2) assessing the event's likelihood,
and (3) considering the means of managing the risk. I remember the first
time I went to the dentist, I had a lot of cavities, as a result, there were
some impacts, they did x ray and let me know the short- and long-term
impact and how to move forward. the damage has been done, what is the
effect of it. the damage has been done; how do we respond? accept,
reduce. another keyword is change, has there been any change in internal
control, assess it adopt appropriate measure to reduce risk. In the deli,
when the online easy ordering was implemented, there was training to be
sure that the employees knows how to do it.
©morren2026/2027.Year published 2026.
, What does risk monitoring entail? - ✔✔Risk monitoring
(1) tracks identified risks,
(2) evaluates current risk response plans,
(3) monitors residual risks,
and (4) identifies new risks. every year, they take x ray of my mouth at the
dentist to check the effectiveness of internal control, to see if there's any
cavity, do I have oral cancer? keywork is continuously.
Risk is measured in terms of - ✔✔Probability and impact
What are the five basic responses to business risks? - ✔✔Acceptance
Avoidance
Pursuit
Reduction
Transfer (e.g., insurance transfers risks from the business to the insurer)
What are the three objectives of the COSO Internal Control - Integrated
Framework? - ✔✔Operations: Relate to achieving the entity's mission and
safeguarding assets
Reporting: Relate to preparing financial and nonfinancial reports
©morren2026/2027.Year published 2026.
