3I0-013 ACI Exam Questions and Answers

Question 1

What is the function of the cash positions keeper?

A. 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
B. He/she assists the dealer in deciding which currency to invest in
C. He/she informs back office staff about which kind of confirmations are to be used
D. He/she acts as a running control on the balance of an internal account, alerting the treasury dealer when fees are running too low or high for a particular value day

Answer : A

Question 2

What is the most important feature of a brokerage reconciliation?

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

Answer : C

Question 3

What is the first task of the cash positions keeper every day?

A. Makes sure the opening position for the current day is the agreed and reconciled position from the previous day
B. Makes sure the previous day1s pending position is the opening position for the current day
C. He/she checks to see which dealer is in charge of which currency for that day
D. He/she checks to see which countries have bank holidays that day

Answer : A

Question 4

When completing a nostro reconciliation, what does an unresolved ledger credit signify?

A. The duplicate receipt of funds from a counterparty
B. The non-payment of funds to a counterparty
C. The duplicate payment of funds to a counterparty
D. The non-receipt of funds from a counterparty

Answer : B

Question 5

What is a future nostro balances report?

A. A list of the final maturity of bonds per value date
B. An account of the possible fees to be paid
C. A comparison of the overdraft interest to be paid on different nostro accounts
D. A report produced to show the anticipated balance on the account as a result of running off existing business

Answer : D

Question 6

The use of standard settlement instructions (SSI’s) is strongly encouraged because:

A. A dealer does not need to confirm payment details by phone
B. It splits differences arising from failed settlements between the two counterparties
C. It eliminates the need to send out SWIFT payment authorizations on a case-by-case basis
D. It avoids having to confirm each deal separately

Answer : A

Question 7

Which of the following is a fundamental element or module in the “securities dealing and processing” part of a treasury system?

A. The financial reporting standard
B. Brokerage accounting
C. The custodian account reconciliation function
D. The country limit overview

Answer : C

Question 8

An input message for the SWIFT network is composed of up to which five parts?

A. 1. Basic header block, 2. Communication header block, 3. Currency block, 4. Text block, 5. Trailers block
B. 1. Basic header block, 2. Application header block, 3. User header block (optional), 4. Text block, 5. Trailers block
C. 1. Sending header block, 2. Application header block, 3. User header block, 4. Text block (optional), 5. Transmission block
D. 1. Basic header block, 2. System header blocks (optional), 3. User header block, 4. Text block, 5. Security block

Answer : B

Question 9

How many characters does a BIC have? (Under ISO standard 9362: 2009)

A. 6 or 9 characters
B. 9 or 12 characters
C. 7 or 10 characters
D. 8 or 11 characters

Answer : D

Question 10

Which of the following BIC-addresses belongs to a bank based in Germany?

A. FRNYUS33
B. ECBFDEFF
C. BCLXLULL
D. SNBZCHZZ

Answer : B

Question 11

Which of the following statements best describes collateral?

A. Liquid assets pledged by one or both counterparties to the other to reduce credit risk
B. Deposits placed by a commercial bank with a central bank to fulfill reserve asset ratios
C. Any deposit placed by an institution with another institution of a lower credit rating
D. Any cross border payment of currency

Answer : A

Question 12

In the absence of his normal dealer contact, a counterparty calls the back office and asks the clerk for his opinion about how long his money should be placed on deposit. What action should the back office clerk take?

A. He should give his opinion.
B. He should give his opinion and tell the counterparty that he is not qualified to do so.
C. He should tell the counterparty that he is not qualified to give an opinion and refer the counterparty to another dealer.
D. He should give his opinion and refer the counterparty to another dealer.

Answer : C

Question 13

A middle or back office clerk receives an FX ticket in which the counterparty is not clearly identified. What should he/she do?

A. Keep the ticket in “stand-by mode” until a matching confirmation is received
B. Immediately refer the ticket to the compliance officer
C. Refer the ticket to the FX dealer for further details
D. Refer the ticket to the nostro account manager for further instructions

Answer : C

Question 14

Which risk factors fall under counterparty risk?

A. Currency risk, interest rate risk and swap risk
B. Settlement risk, delivery risk and replacement cost
C. Operational risk
D. Settlement risk and swap risk

Answer : B

Question 15

What are the three successive stages of money laundering?

A. Integration, layering, placement
B. Integration, placement, layering
C. Placement, layering, integration
D. Layering, integration, placement

Answer : B

ACI Operations Certificate challenging v8.0

Question 1

Question 2

Question 3

Question 4

Question 5

Question 6

Question 7

Question 8

Question 9

Question 10

Question 11

Question 12

Question 13

Question 14

Question 15

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