CIA Exam Syllabus, Part 3 Exam IIA-CIA-Part3 Updated Exam Dumps

1. Which of the following statements accurately describes one of the characteristics that distinguishes a multinational company from a domestic company?

2. Which of the following purchasing scenarios would gain the greatest benefit from implementing electronic data interchange?

3. Which of the following is an example of a nonfinancial internal failure quality cost?

4. In which type of business environment are price cutting strategies and franchising strategies most appropriate?

5. Multinational organizations generally spend more time and effort to identify and evaluate:

6. Which of the following is the most likely reason an organization may decide to undertake a stock split?

7. The ability to test the effectiveness of the control.

8. According to the waterfall cycle approach to systems development, which of the following sequence of events is correct?

9. An organization needs to borrow a large amount of cash to fund its expansion plan.

Which of the following annual interest rates is least expensive?

10. Which of the following is true regarding an organization's relationship with external stakeholders?

11. Which of the following borrowing options is an unsecured loan?

12. Which of the following is the best approach to overcome entry barriers into a new business?

13. The audit committee of a global corporation has mandated a change in the organization's business ethics policy.

Which of the following approaches describes the best way to accomplish the policy's diffusion worldwide?

14. Which of the following statements about COBIT is not true?

15. A small furniture-manufacturing firm with 100 employees is located in a two-story building and does not plan to expand. The furniture manufactured is not special-ordered or custom-made.

The most likely structure for this organization would be:

16. According to IIA guidance, which of the following corporate social responsibility (CSR) activities is appropriate for the internal audit activity to perform?

17. To assess the performance of employees.

18. Which of the following corporate social responsibility strategies is likely to be most effective in minimizing confrontations with influential activists and lobbyists?

19. Ensure that performance targets are always achieved.

20. An organization engages in questionable financial reporting practices due to pressure to meet unrealistic performance targets.

Which internal control component is most negatively affected?

21. Independent verification of data integrity and accuracy.

22. An organization decided to install a motion detection system in its warehouse to protect against after-hours theft.

According to the COSO enterprise risk management framework, which of the following best describes this risk management strategy?

23. Which of the following best describes an objective for an audit of an environmental management system?

24. In an analysis of alternative credit-management policies, which of the following components will cause the net present value of receivables on credit sales to increase, if everything else remains constant?

25. During which phase of disaster recovery planning should an organization identify the business units, assets, and systems that are critical to continuing an acceptable level of operations?

26. Which of the following is not a potential area of concern when an internal auditor places reliance on spreadsheets developed by users?

27. An organization has recorded the following profit and expenses:

Profit before interest and tax

$200,000

Sales

$2,300,000

Purchases of materials

$700,000

Interest expenses

$30,000

If the value-added tax (VAT) rate is 20 percent and the corporate tax rate is 30 percent, which of the following is the amount of VAT that the organization has to pay?

28. Which of the following costs would be incurred in an inventory stockout?

29. Pricing models linked to seasonal demand.

30. When writing a business memorandum, the writer should choose a writing style that achieves all of the following except:

31. A manager has difficulty motivating staff to improve productivity, despite establishing a lucrative individual reward system.

Which of the following is most likely the cause of the difficulty?

32. Which of the following is a type of network in which an organization permits specific users (such as existing customers) to have access to its internal network through the Internet by building a virtual private network?

33. Which of the following would best prevent unauthorized external changes to an organization's data?

34. Identify and prioritize the resources required to support critical business processes.

35. Which of the following is not a method for implementing a new application system?

36. Which of the following strategies would most likely prevent an organization from adjusting to evolving industry market conditions?

37. A key advantage of developing a computer application by using the prototyping approach is that it:

38. A chief audit executive (CAE) was asked to participate in the selection of an external auditor.

Which of the following would not be a typical responsibility for the CAE?

39. 5

Based on this data, which of the following describes the value of Cost X in relation to the value of Output Produced?

40. The most important reason to use risk assessment in audit planning is to:

41. All of the following are true with regard to the first-in, first-out inventory valuation method except:

42. A brand manager in a consumer food products organization suspected that several days of the point-of-sale data on the spreadsheet from one grocery chain were missing.

The best approach for detecting missing rows in spreadsheet data would be to:

43. When initiating international ventures, an organization should consider cultural dimensions in order to prevent misunderstandings.

Which of the following does not represent a recognized cultural dimension in a work environment?

44. In order to provide useful information for an organization's risk management decisions, which of the following factors is least important to assess?

45. According to IIA guidance, which of the following would be a primary reason for an internal auditor to test the organization's IT contingency plan?

46. Which of the following stages of group development is associated with accepting team responsibilities?

47. Which is the least effective form of risk management?

48. What are the objectives of governance as defined by the Standards?

49. Which of the following describes a typical desktop workstation used by most employees in their daily work?

50. Which of the following actions is most likely to gain support for process change?

51. Which of the following are the most appropriate measures for evaluating the change in an organization's liquidity position?

52. An organization is considering mirroring the customer data for one regional center at another center.

A disadvantage of such an arrangement would be:

53. Senior management has decided to implement the Three Lines of Defense model for risk management.

Which of the following best describes senior management's duties with regard to this model?

54. The market price is the most appropriate transfer price to be charged by one department to another in the same organization for a service provided when:

55. How inputs combine with outputs to generate activities.

56. Which of the following statements regarding program change management is not correct?

57. Which of the following is true regarding the COSO enterprise risk management framework?

58. Which of the following is a characteristic of just-in-time inventory management systems?

59. Which of the following is a role of the board of directors in the governance process?

60. Which of the following is the most appropriate test to assess the privacy risks associated with an organization's workstations?

61. Which of the following must be adjusted to index a progressive tax system to inflation?

62. Which of the following is an element of effective negotiating?

63. Technological uncertainty, subsidy, and spin-offs are usually characteristics of:

64. A capital investment project will have a higher net present value, everything else being equal, if it has:

65. Refer to the exhibit.

If the profit margin of an organization decreases, and all else remains equal, which of the following describes how the "Funds Needed" line in the graph below will shift?

66. Which of the following is a characteristic of an emerging industry?

67. Providing knowledge, motivating organizational members, controlling and coordinating individual efforts, and expressing feelings and emotions are all functions of:

68. At what point during the systems development process should an internal auditor verify that the new application's connectivity to the organization's other systems has been established correctly?