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IIBA CBAP Practice Test - Questions Answers, Page 50

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The table illustrates the statement of cash flows for a courier company for the last fiscal year. Due to aggressive market competition, the management of the company performed a strategy review and based on their findings and the current market conditions they came up with strategic and tactical changes in order to keep a competitive market position. In order to strengthen customer retention strategies through a new competitive advantage, the company is considering implementing a live parcel tracking system. The added value will be that the customers may determine the exact location of the parcel whether it is in a warehouse, crossing the ocean through an overseas ship, or travelling in a delivery truck at any time. The system tracks the location of the parcel by tracking the vehicle in which it is contained. However, for a group of old delivery trucks, it was noticed that the engine sound and vibration disturbed the tracking signal and caused interruptions. Therefore, the tracking does not perform accurately on these vehicles. Although the majority of management would like to sell these vehicles and replace them with newer ones, the Chief Financial Officer (CFO) was strongly against that approach. The CFO argued that instead of hanging tracking devices on the trucks' body, they can have the truck drivers manually send the truck location from a hand held mobile device every 30 minutes. The company has a total of 134 old delivery trucks that have been in service for 10 years. Each vehicle was bought at a price of $22,000. Depreciation is done using a straight line basis and it is estimated that the vehicle depreciates at $1000 per year. The estimated salvage value per vehicle is about $3,000. Another area of tactical improvement for the courier company is pricing. The management strongly believes that they can start a price war with the most aggressive competitor. Management thinks, with their variable cost of $4 per parcel and fixed cost of $6 per parcel, they can win the market. However, after implementing the tracking solution, fixed cost will jump to $8 per parcel which made management reconsider their options. The competitor has variable costs of $5 per parcel and fixed costs o $7 per parcel. The CFO's resistance to replacing the older vehicles represents which type of cost?





Question 491

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A business analyst (BA) has defined a business analysis approach and presented the documents to the sponsors, the senior executives, the domain experts, the project manager, and the head of technology, to obtain agreement from all. At this juncture, the project manager objected to some of the estimates determined in the budget and refused to agree with the estimates. Which guideline or tool, if followed by the BA, would have helped in avoiding such disagreements?

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Question 492

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Due to the complexity of a project, the project board is concerned that the business analyst (BA) will not be able to ensure all requirements are verified. What tool can the BA present to the project board to mitigate their concern?

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Question 493

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A business analyst (BA) has a meeting next week with the project sponsor to ensure that the requirements align with the objective of the project. Prior to the meeting, the BA must ensure that the requirements are:

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Question 494

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A business analyst (BA) has just finished verifying requirements for a new application that impacts various business processes for product setup, sales, and support. Which of the following methods should be used to validate the requirements with key stakeholders?

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Question 495

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While reviewing the data feeds on a project the business analyst (BA) realizes there is a feed that contains complex relationships. In order to help understand the data and accurately reflect a set of requirements the BA decides to prioritize the requirements. What modeling format could the BA use?

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Question 496

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A business analyst (BA) asks participants in a workshop to write down their ideas about the feature being built on sticky notes, place them on the wall, and then group the ideas into similar themes. The BA is using this technique to:

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Question 497

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A business analyst (BA) has completed requirements elicitation and modelling on a project to implement a new case management system. During analysis of the requirements, the BA notices that one of the requirements appears to be in conflict with the company's case management policies. What should the BA do?

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Question 498

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A bank moves currency from the main office to the branches daily for operational use. To avoid paying overnight interest, the branches return the currency at the end of the business day. The bank requires a new inventory management system to account for the whereabouts of the cash at all times. A software provider has proposed a heavily customized version of their standard inventory management software. As the project progresses, the business analyst (BA) identifies a number of subtleties that would suggest a fully made to order solution may be a better option for the bank. What inputs does the BA need to perform the analysis?

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Total 498 questions
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