Discuss American Bankers Association CRCM Exam Topic 9 Question 23

First National Bank, a U.S. bank, is contacted by Manufacturing Company, Inc., a U.S. company, to finance its transaction with Country Z, a boycotting country. Payment will be made through a letter of credit in favor of Manufacturing Company at its U.S. address. First National Bank knows that the letter of credit will contain restrictive boycott conditions that would prevent the bank from implementing it. First National Bank suggests to Manufacturing Company, Inc., that it set up a shell corporation in Country Y, a nonboycotting country, and have the shell corporation be the beneficiary of the letter of credit. Does First National Bank have any problem with this transaction?

ANo. The transaction is now not subject to Department of Commerce regulations because the beneficiary is not a U.S. company.

BYes. The transaction is set up to evade the regulation and First National Bank is liable.

CNo. The transaction is set up to evade the regulation, but First National Bank is not liable because Manufacturing Company, Inc., actually effected the transaction.

DNo. First National should have Manufacturing Company, Inc., sign a statement accepting full responsibility for the establishment of the shell corporation.

Suggested Answer: B

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13 comments · newest first

Karl 11 months ago

No way this transaction is clean, they’re asking for trouble.

Kimberely 12 months ago

I agree, they could be in hot water for this.

Phil 12 months ago

Wait, can they really just set up a shell company like that?

Chan 12 months ago

Definitely a liability issue here!

Ashanti 1 year ago

Sounds like a risky move for the bank.

Christiane 1 year ago

Hmm, I'm a bit unsure about the differences between connection strings and service names. I'll try to recall what I've learned and make an educated guess.

Cassandra 1 year ago

This seems like a tricky question. I'm not entirely sure, but I think option C might be the way to go - renaming the new server to match the old one could work to get the Normal Servers to report to it automatically.

Beata 1 year ago

I'm a bit confused by this question. The options seem to cover a wide range of cloud and on-premises solutions. I'll need to review my notes on the SDDC to determine which three it specifically helps build. Gotta be careful not to overthink this.

Christa 1 year ago

Alright, time to use my process of elimination and see if I can narrow this down.

Jettie 1 year ago

Hmm, I'm a bit unsure about this one. I know the POST is an important part of the boot process, but I'm not sure which specific component is responsible for issuing it. I'll have to think this through carefully.

Wilda 1 year ago

I'm leaning towards option B. Putting the new server in the same Availability Set as the other components seems like the safest bet to meet the requirements for both availability and speed.

Lino 1 year ago

I feel like I saw a question that had flow and project manufacturing listed, but can't quite remember the third one.

Harris 1 year ago

I'm pretty confident that the answer is Injection Flaws. That's always been one of the top vulnerabilities according to OWASP.

American Bankers Association CRCM Exam - Topic 9 Question 23 Discussion