ACI-Operations Certificate Set 6

1.

You have five outstanding amounts with five different values. Which of the following should be investigated first?

The most recently processed deal The counterparties in your own country The counterparty which claims first Those positions with the highest loss potential

2.

Why should the maturity profile of unreconciled items be frequently reviewed?

It allows the compliance officer to see how often the reconciliation staff has claimed for an outstanding item It allows management to see what items are pending by value and counterparty, but also how longitems have been outstanding and whether there is an improvement in the pace of reconciliations. It allows reconciliation staff to check the bilateral limits with counterparties and to adjust these limits asnecessary because the most recent figures have to be published in the balance report

3.

What is the most important feature of a brokerage reconciliation?

It must be processed once a year brokers bills should be reconciled during the night when no other system is running brokers bills must be reconciled promptly at month-end prior to payment the existence of a single reference currency for all the brokers with whom your institution is dealing

4.

What is the function of the cash positions keeper?

He/she acts as a running control on the balance of a nostro, alerting the treasury dealer when funds are
running too low or too high for a particular value day measured by agreed upon internal parameters He/she assists the dealer in deciding which currency to invest in He/she informs back office staff about which kind of confirmations are to be used He/she acts as a running control on the balance of an internal account, alerting the treasury dealerwhen fees are running too low or high for a particular value day

5.

Which kind of report is a reconciliation system unable to produce?

A "probable matched items report" (a report in which most fields match but there are some
discrepancies)

A "calculated fees report" (a report of the expected fees owed)

A "matched items report" (a report of all fields that match)

An "unmatched items report" (a report of items for which one is unable to find matches)

6.

Which SWIFT message type is a nostro cash reconciliation software package based on?

SWIFT message type 300 SWIFT message type 292 SWIFT message type 571 (i.e. a statement of holdings) SWIFT message types 940 and 950 (i.e. a statement of account)

7.

Which of the following is an example of a foreign currency nostro account from the perspective of a bank in London?

a GBP account with another UK bank a CHF account with a bank in Zurich a CHF account that it holds for a customer in London a GBP account that it holds for a bank in New York

8.

In settling a money market placing between your dealer and a counterparty, what would be the financial consequences of a payment made one day late?

the counterparty would cancel the deal the bilateral limit with the counterparty would have to be adjusted the counterparty would demand interest on the late payment there are no adverse financial consequences

9.

You have 10 credited amounts of 1 million each with same value date and same currency. Which of the following items is most helpful in reconciling these amounts?

When the deal was processed is a good indication of the amounts to be reconciled Each deal is registered according to a unique reference which helps in reconciling the items The BIC-address helps you to reconcile the open items None of the above. You should telephone your counterparties to request more information

10.

What is a future nostro balances report?

a list of the final maturity of bonds per value date an account of the possible fees to be paid a comparison of the overdraft interest to be paid on different nostro accounts a report produced to show the anticipated balance on the account as a result of running off existingbusiness

ACI-Operations Certificate Set 6

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Congratulations

COMPANY

Products

OTHERS

Partner

ACI-Operations Certificate Set 6

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Answer & Solution

Answer: Option B

Solution:

Congratulations

Detail Form

COMPANY

Products

OTHERS

Partner