1Z0-1058-26 practice question 10 of 10

Which three risk assessment activity types are available in Financial Reporting Compliance? (Choose three.)

Full set: 75 questions
Answer options
A: Design Review Correct answer
B: Qualitative Analysis
C: Quantitative Analysis
D: Certify Correct answer
E: Audit
F: Assess Risk Correct answer
Correct Answer:
A. Design Review; D. Certify; F. Assess Risk
Explanation

In Oracle Financial Reporting Compliance, risk assessments are structured around specific activity types that define the purpose of the assessment. The available activity types include "Assess Risk," which is used to evaluate the likelihood and impact of risks associated with a process. "Design Review" is an activity to evaluate the design effectiveness of controls. "Certify" is an activity used for formal attestations, such as those required by Sarbanes-Oxley (SOX) section 302, where individuals certify the accuracy of financial information or the effectiveness of internal controls. These three are distinct, selectable activity types when creating an assessment.

Why Incorrect

B. Qualitative Analysis: This is a method used within the "Assess Risk" activity to evaluate risk, not a distinct, selectable activity type itself.
C. Quantitative Analysis: Similar to qualitative analysis, this is a technique for evaluating risk during an "Assess Risk" activity, not a separate activity type.
E. Audit: While assessments are part of an audit process, "Audit" is not a specific risk assessment activity type within the Financial Reporting Compliance module itself.

References

1. Oracle Fusion Cloud Risk Management and Compliance, Using Financial Reporting Compliance, Release 24B, Chapter 4: Assessments, Section: Create an Assessment.

This section details the process of creating an assessment and explicitly lists the available activities. It states, "In a Activity field, select the type of work to be performed. Your selection may be Assess Risk, Certify, Design Review, or Test of Effectiveness." This directly confirms that Assess Risk, Certify, and Design Review are valid activity types.

2. Oracle Fusion Cloud Risk Management and Compliance, Implementing Financial Reporting Compliance, Release 24B, Chapter 4: Set Up Assessments, Section: Assessment Activities.

This implementation guide describes the predefined assessment activities. It notes: "Financial Reporting Compliance provides the following predefined assessment activities: Assess Risk, Certify, Design Review, and Test of Effectiveness." This corroborates that options A, D, and F are correct predefined types.

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