Csis Exam® Sample Questions

1. Accounting and finance basicsWhich of the following must be considered in estimating depreciation of an asset for an accounting period?

The original cost of the asset

Its useful life

The decline of its fair market value

Both the original cost of the asset and its useful life.

When a company buys a fixed asset, that asset loses its value over time, and so its most current value must be accounted for on the company's balance sheet.

The straight line depreciation method divides the cost by the life.
SL = Cost / Life

Explanation

When a company buys a fixed asset, that asset loses its value over time, and so its most current value must be accounted for on the company's balance sheet.

The straight line depreciation method divides the cost by the life.
SL = Cost / Life

2. Business developmentWhat does the "W" in SWOT stand for?

Wages

Workload

Worthiness

Weaknesses

A SWOT analysis (alternatively SWOT matrix) is a structured planning method used to evaluate the strengths, weaknesses, opportunities and threats involved in a project or in a business venture.

Explanation

A SWOT analysis (alternatively SWOT matrix) is a structured planning method used to evaluate the strengths, weaknesses, opportunities and threats involved in a project or in a business venture.

3. Business and Corporate TerminologyAn arrangement between two or more people, companies, countries etc; contract, usually in writing, can be between two or more parties is called an _______________.

An agreement is a formal arrangement between two or more parties, such as people, companies, or countries, that is usually documented in writing. It outlines the terms and conditions that the parties have agreed upon and serves as a legally binding contract.

Explanation

An agreement is a formal arrangement between two or more parties, such as people, companies, or countries, that is usually documented in writing. It outlines the terms and conditions that the parties have agreed upon and serves as a legally binding contract.

Submit

4. Logical Reasoning The greatest weakness in the American space shuttle program was the O-Ring system in the rocket boosters. The solid rocket boosters were manufactured in ring-like fragments which had to be attached and sealed to prevent hot gases from escaping during takeoff. A system of O-Rings made from a rubbery material was developed to accomplish this goal. The O-Rings were supposed to expand or contract depending on circumstances, but were fatally flawed at a design level. The rubbery material would not expand in low temperatures and almost led to the loss of a shuttle on several occasions. Engineers who recognized the problem were ignored and NASA judged the risk acceptable. Eventually, the Challenger space shuttle exploded a few seconds after take off due to the O-Ring failure. The crew were likely not killed in the explosion, but died after the crew cabin plummeted into the ocean. The engineer who had tried to stop the launch and warned that the shuttle would explode was fired after his public testimony exposed the truth.Based only on information in the passage decide whether the following statement is true, false or it cannot be determined:If the Solid Rocket booster had been built as one single item, risk of catastrophe would have been very low.

True

False

Cannot say

The passage does not provide any evidence regarding the statement, therefore it is impossible to say whether it's true are false.

Explanation

The passage does not provide any evidence regarding the statement, therefore it is impossible to say whether it's true are false.

5. Project ManagementYou are explaining to a junior engineer the difference between a project and operations. Which one of the following is true only of operations?

They are performed by people.

They are constrained by limited resources.

They are ongoing.

They are planned, executed, and controlled.

Operations are done to achieve business goals, whereas projects are executed to start new objectives. One or more projects can be executed to provide inputs to operations for better implementation. Project management is used to manage projects whereas business process or operations management is used to execute operations.

Operations are ongoing, but projects are temporary.

Both projects and operations are carried out by people, both require planning, both require management, and both are constrained by a fixed amount of budget, resources, and timelines.

Explanation

Operations are done to achieve business goals, whereas projects are executed to start new objectives. One or more projects can be executed to provide inputs to operations for better implementation. Project management is used to manage projects whereas business process or operations management is used to execute operations.

Operations are ongoing, but projects are temporary.

Both projects and operations are carried out by people, both require planning, both require management, and both are constrained by a fixed amount of budget, resources, and timelines.