Chapter 1 - Chapter 3

Question 1

It is someone who has expertise in a specific area or areas and offers unbiased opinion and advise for fee

Answer 1

Consultant

Question 2

What is the purpose of the CPA in engaging in MAS?

Answer 2

To utilize the essential qualifications it
has available to provide advice and
technical assistance which will enable
client’s management conduct its affairs
more effectively.

Question 3

What are the essential qualifications of a consultant?

Answer 3

1. Technical competence
2. Familiarity with client’s finance, control
   system and business problems
3. Analytical ability & experience in
   problem solving
4. Professional independence, objectivity
   & integrity

Question 4

What is the primary purpose of MAS?

Answer 4

1. The function of providing professional
   advisory
2. Primary purpose is to improve client’s use of its capabilities and resources

Question 5

What are the two types of encounters?

Answer 5

1. Consultations
2. Engagements

Question 6

What happens during a consultation?

Answer 6

1. Providing advice and information during a short time frame
2. Information provided is orally
3. Information are qualified to limitations

Question 7

What is an engagement?

Answer 7

It is an analytical approach and process is applied in a study or project

Question 8

What are the main types of consulting firms?

Answer 8

1. IT Firms
2. Accounting firms offering consultancy
3. Major consulting only firms
4. Independent

Question 9

This type of consultant should have 3-5 years of experience and leads a consulting team. Their responsibility involves dealing with the client team and they must possess the ability to take responsibility in running small consultancy project

Answer 9

Senior Consultant/Managers

Question 10

This type of consultant must have 5-10 years of experience and is responsible for developing firms product. In addition, they are responsible for building relationship with its client and involved in some large, complex consulting projects.

Answer 10

Business Development/Managers

Question 11

This consultant is the most experienced
consultant responsible for the
development of the organization
and leads strategic
development.

Answer 11

Directors/Partners

Question 12

What are the types of MAS engagements?

Answer 12

a) Nature of the Problem
b) Service DeliveryArea
c) Phases of the Analytical Process
d)Techniques and Methodologies Applied
e)Industry (or nature of organization)
f) Geographical Area

Question 13

What are the three possible nature of the problem?

Answer 13

a. Corrective
b. Progressive
c. Opportunistic

Question 14

This is a situation in which
conditions have worsened.

Answer 14

Corrective

Question 15

This is an existing situation that can be
improved.

Answer 15

Progressive

Question 16

This is a situation in which a future
opportunity exists.

Answer 16

Opportunistic

Question 17

What are the phases of analytical procedure?

Answer 17

a. Identifying objectives
b. Defining the problem
c. Finding out the facts
d. Developing the solution
e. Implementing the solution

Question 18

__________________ are conducted to
evaluate the effectiveness and/or efficiency of operations

Answer 18

Operational Audit

Question 19

It is the complete redesign of a process with an emphasis on finding creative new ways to accomplish an objective.

Answer 19

Business Process Improvement/Reengineering

Question 20

It involves developing new ways to perform existing activities and ways to stop performing non-value adding activities.

Answer 20

Business Process Improvement/Reengineering

Question 21

This is a process through which managers
discover the nature of the competitive
environment in which they are operating.

Answer 21

Marketing Research

Question 22

What are the types of marketing research?

Answer 22

1. Primary Research
   a. Quantitative Research
   b. Qualitative Research
2. Secondary Research

Question 23

This type of consultancy work defines the approach the business will take in order to get the customer’s attention and get them to spend their money on the business’s products or services

Answer 23

Marketing Strategy Development

Question 24

This is any program of activities dedicated to customers about a product, their interest and encouraging informing
stimulating purchase

Answer 24

Developing Promotional Campaigns

Question 25

This type of consultancy work involves understanding the customer’s needs through market research.

Answer 25

New Product Development

Question 26

This type of consultancy work involves technical advice on product development

Answer 26

New Product Development

Question 27

This type of consultancy work involves identifying and contacting suppliers of critical components

Answer 27

New Product Development

Question 28

This type of consultancy work involves development of marketing and PR campaigns to support the launch

Answer 28

New Product Development

Question 29

This type of consultancy work involves developing promotion campaigns to get distributors on board

Answer 29

New Product Development

Question 30

This type of consultancy work involves financial planning and evaluation of the return on new product investment

Answer 30

New Product Development

Question 31

This type of consultancy work involves evaluation of the business’s investment needs

Answer 31

Developing Proposals of Financial Support

Question 32

This type of consultancy work involves i identification of funding providers and how they might be contacted

Answer 32

Developing Proposals of Financial Support

Question 33

This type of consultancy work involves developing an understanding of the criteria employed by funding providers and how these might be addressed

Answer 33

Developing Proposals of Financial Support

Question 34

This type of consultancy work involves developing communications with funding providers

Answer 34

Developing Proposals of Financial Support

Question 35

This type of consultancy work involves assessing the firm’s human resource requirement and identifying skill and knowledge gaps

Answer 35

Staff Recruitment

Question 36

This type of consultancy work involves creating advertisements to attract the right people

Answer 36

Staff Recruitment

Question 37

This type of consultancy work involves development assessment criteria, interview procedures and psychometric testing of candidates

Answer 37

Staff Recruitment

Question 38

This type of consultancy work involves advice on the reimbursement packages new recruits will expect

Answer 38

Staff Recruitment

Question 39

This consultancy services managing totality of risks-financial, operational and systems, and strategic to improve financial and business performance.

Answer 39

Global Risk Management Solution

Question 40

This consultancy service involves services related to mergers, acquisition, divestitures, joint ventures, spin-off and strategic alliance

Answer 40

Transaction Services

Question 41

In this consultancy service, CPA’s provide financial, economic and strategic advice to companies with complex business problems and disputes.

Answer 41

Financial Advisory Services

Question 42

This consultancy service involves management advisory services related to partnership between the public and private sectors in delivering infrastructure and services or privatization and project finance

Answer 42

Project Finance and Privatization

Question 43

This consultancy service involves guiding clients through complex business transaction such as acquisition or divestiture of investment, debt structuring and finance-raising, entry to major stock exchange, mergers.

Answer 43

Valuation Services

Question 44

This consultancy service is a service where CPA’s provide services to troubled business by emphasizing on the implementation and rationalization and recovery programs designed to rebuild value.

Answer 44

Business Recovery Services

Question 45

This consultancy service involves environmental analysis, real estate investigative services, damage, disputes, financial construction investigative services, economic and analysis.

Answer 45

Dispute Analysis and Investigations

Question 46

This consultancy service involves helping the client understand and manage their business risks relating to implementation and use of technology

Answer 46

Computer Risk Management

Question 47

This consultancy service helps assist clients in prioritizing their needs, identifying the right software and tailoring it to meet their specific requirement.

Answer 47

Application Software Selection and Implementation

Question 48

What are the traditional areas of expertise for CPA firms?

Answer 48

1. Auditing 2. Accounting system design and installation 3. Income tax work

Question 49

What are the common roles in consulting firms (in ascending order of seniority)?

Answer 49

Analysts Consultants Senior Consultant or Manager Business Development Managers Director or Partners

Question 50

These are services provided by an independent accounting firm that can be described as the function of providing professional advisory (consulting) services

Answer 50

Management advisory services

Question 51

The primary purpose of these services is to improve the client’s use of its capabilities and resources to achieve the objectives of the organization

Answer 51

Management advisory services

Question 52

A management consultant is hired for at least four valuable reasons:

Answer 52

1. Independent viewpoint 2. Professional advisor and counselor 3. Temporary professional service 4. Agent of change

Question 53

What are the six dimensions of management services engagements?

Answer 53

1. nature of the problem 2. service delivery area 3. phases of the analytic process 4. techniques and methodologies applied 5. industry (or nature of organization) to which the client belongs, and 6. geographical area(s) where the engagement take place

Question 54

The analytic process in a consulting engagement includes:

Answer 54

1. Identifying the objectives 2. Defining the problem 3. Finding out the facts 4. Developing the solution 5. Implementing the solution

Question 55

This is one of the broadest project types. This is a phrase often encountered in businesses that have ambitions to grow and develop. A project of this type is a great opportunity. It offers the consultant a broad remit to contribute to the development of the business.

Answer 55

Business Development

Question 56

In process reengineering, a business process is diagrammed in detail, questioned and then completely redesigned to:

Answer 56

1. eliminate unnecessary steps 2. to reduce opportunities for errors 3. to reduce costs

Question 57

This has sometimes been described as taking a blank piece of paper and starting from scratch to design a business process.

Answer 57

Reengineering

Question 58

A _________________ is information collected for the specific project.

Answer 58

primary research

Question 59

_________________ provides answers to questions when those answers need to be expressed in statistical or numerical form. It aims to answer the ‘how much, how often and how many’ questions that managers pose.

Answer 59

Quantitative research

Question 60

_________________ provides answers to questions that do not demand a quantified answer. It provides the insights that answer managers’ ‘who, what and why’ questions.

Answer 60

Qualitative research

Question 61

A ______________ research is based on information that has been collated earlier for reasons other than the project at hand.

Answer 61

Secondary research

Question 62

A ________________ defines the approach the business will take in order to get the customer’s attention and - critically - get them to spend their money on the business’ products or services.

Answer 62

marketing strategy

Question 63

A ________________ is any program of activities dedicated to informing customers about a product, stimulating their interest and encouraging purchase.

Answer 63

promotional campaign

Question 64

This represents a complex project that draws in most, if not all, of the firm’s functions, This is often undertaken by interdisciplinary teams, which cut across departmental boundaries.

Answer 64

New product development

Question 65

What are the types of clients served in MAS?

Answer 65

1. Contact clients 2. Intermediate clients 3. Primary clients 4. Unwitting clients 5. Indirect clients 6. Ultimate clients

Question 66

This client is the person, who first approaches the consultant and proposes that the consultant addresses a problem or issue on behalf of the organization

Answer 66

Contact clients

Question 67

These clients are members of the organization who become involved in the consulting project. They will work with the consultant and provide information. They will sit on meetings and influence the way the project unfolds.

Answer 67

Intermediate cliens

Question 68

These clients are members of the organization who will be affected by the intervention of the consultant. They do not initiate the project and have no direct or formal control over it. They are not aware that they will be affected by the project.

Answer 68

Unwitting clients

Question 69

These clients are members of the organization who will be affected by the intervention of the consultant and who are aware that they will be affected. However, the consultant is not aware that the project will have an impact on them. These clients may feel cither positive or negative about the consultant’s intervention. They can be very influential behind the scenes and, unbekaown to the consultant, can facilitate or hinder the progress of the project.

Answer 69

Indirect Clients