Data Reconciliation Across Financial Systems CT-FT Practice Questions (Page 1)

Questions 1–5

1. 1foundation · easy

   In a typical financial data flow, which system is usually the source of transaction data that is later reconciled in a data warehouse?

   • AData warehouse
   • BReporting tool
   • CETL tool
   • DCore banking system
   Reveal Solution Discussion Select an answer first
2. 2foundation · easy

   What is a matching key in data reconciliation?

   • AA security credential used to access financial systems.
   • BA checksum value used to verify data integrity.
   • CA database index that speeds up query performance.
   • DA field or combination of fields used to uniquely identify and align records between systems.
   Reveal Solution Discussion Select an answer first
4. 3expert · hard

   A company is reconciling data between its CRM and billing systems. The CRM uses a customer ID, while the billing system uses an account number. The tester finds that some records have the same customer ID but different account numbers, and some have the same account number but different customer IDs. What is the most appropriate matching strategy?

   • AUse the account number as the sole matching key
   • BInvestigate the data quality issues before defining the matching key
   • CUse the customer ID as the sole matching key
   • DUse a composite key of both customer ID and account number
   Reveal Solution Discussion Select an answer first
5. 4expert · hard

   A financial institution is evaluating whether to automate its reconciliation process. The current manual process is accurate but slow, and the volume of transactions is expected to double in the next year. The institution has a limited IT budget and cannot afford a major system overhaul. Which approach best balances cost and future scalability?

   • ADevelop a custom in-house reconciliation system from scratch
   • BImplement a rule-based automation tool that can be configured to handle the increased volume
   • COutsource the reconciliation process to a third-party provider
   • DContinue with the manual process and hire more staff to handle the increased volume
   Reveal Solution Discussion Select an answer first
6. 5application · medium

   A mid-sized financial firm currently performs daily reconciliation of thousands of transactions manually using spreadsheets. The process takes several hours and is prone to errors. The firm wants to reduce manual effort and improve accuracy. Which approach is most effective?

   • AHire additional staff to review the spreadsheets more thoroughly
   • BIncrease the frequency of manual reconciliation to twice a day
   • CImplement an automated reconciliation tool that matches transactions based on predefined rules
   • DReduce the number of transactions reconciled to only those above a certain value
   Reveal Solution Discussion Select an answer first