IIA CIA Part3demo
IIA CIA Part3demo
IIA CIA Part3demo
IIA
IIA-CIA-Part3
Certified Internal Auditor - Part 3, Business Analysis and Information Technology
http://www.examsboost.com/
Product Version
Up to Date products,
Visit usreliable and verified.
athttps://www.examsboost.com/test/iia-cia-part3/
A. The extent to which management judgments are required in an area could serve as a risk factor in
assisting the auditor in making a comparative risk analysis.
B. The highest risk assessment should always be assigned to the area with the largest potential loss.
C. The highest risk assessment should always be assigned to the area with the highest probability of
occurrence.
D. Risk analysis must be reduced to quantitative terms in order to provide meaningful comparisons
across an organization.
Answer: A
Question: 2
A. An effective internal audit function is one of the four cornerstones of good governance.
B. Those performing governance activities are accountable to the customer.
C. Accountability is one of the key elements of organizational governance.
D. Governance principles and the need for an internal audit function are applicable to governmental
and not-for-profit activities.
Answer: B
Question: 3
Which of the following is a role of the board of directors in the governance process?
Answer: B
Visit us athttps://www.examsboost.com/test/iia-cia-part3/
Question: 4
Answer: D
Question: 5
Which of the following statements is correct regarding corporate compensation systems and related
bonuses?
1. A bonus system should be considered part of the control environment of an organization and
should be considered in formulating a report on internal control.
2. Compensation systems are not part of an organization's control system and should not be
reported as such.
3. An audit of an organization's compensation system should be performed independently of an
audit of the control system over other functions that impact corporate bonuses.
A. 1 only
B. 2 only
C. 3 only
D. 2 and 3 only
Answer: A
Question: 6
Answer: B
Visit us athttps://www.examsboost.com/test/iia-cia-part3/
Question: 7
When developing an effective risk-based plan to determine audit priorities, an internal audit activity
should start by:
Answer: D
Question: 8
The decision to implement enhanced failure detection and back-up systems to improve data
integrity is an example of which risk response?
A. Risk acceptance.
B. Risk sharing.
C. Risk avoidance.
D. Risk reduction.
Answer: D
Question: 9
Which of the following activities most significantly increases the risk that a bank will make poor-
quality loans to its customers?
Answer: D
Visit us athttps://www.examsboost.com/test/iia-cia-part3/
Question: 10
Answer: D
Question: 11
During a review of a web-based application used by customers to check the status of their bank
accounts, it would be most important for the internal auditor to ensure that:
Answer: D
Question: 12
Which of the following steps should an internal auditor take during an audit of an organization's
business continuity plans?
1. Evaluate the business continuity plans for adequacy and currency.
2. Prepare a business impact analysis regarding the loss of critical business.
3. Identify key personnel who will be required to implement the plans.
4. Identify and prioritize the resources required to support critical business processes.
A. 1 only
B. 2 and 4 only
C. 1, 3, and 4 only
D. 1, 2, 3, and 4
Answer: A
Visit us athttps://www.examsboost.com/test/iia-cia-part3/
Question: 13
Which of the following engagement observations would provide the least motivation for
management to amend or replace an existing cost accounting system?
A. The distorted unit cost of a service is 50 percent lower than the true cost, while the true cost is 50
percent higher than the competition's cost.
B. The organization is losing $1,000,000 annually because it incorrectly outsourced an operation
based on information from its current system.
C. The cost of rework, hidden by the current system, is 50 percent of the total cost of all services.
D. 50 percent of total organizational cost has been allocated on a volume basis.
Answer: D
Question: 14
Which of the following control techniques would minimize the risk of interception during
transmission in an electronic data interchange system?
1. Encryption.
2. Traffic padding.
3. Edit checks.
4. Structured data format.
A. 1 and 2 only
B. 2 and 3 only
C. 3 and 4 only
D. 1, 2, and 3 only
Answer: A
Question: 15
For an engineering department with a total quality management program, important elements of
quality management include all of the following except:
Visit us athttps://www.examsboost.com/test/iia-cia-part3/
Answer: A
Question: 16
The figure below shows the network diagram for the activities of a large project. What is the
shortest number of days in which the project can be completed?
A. 21 days.
B. 22 days.
C. 27 days.
D. 51 days.
Answer: C
Visit us athttps://www.examsboost.com/test/iia-cia-part3/
Thank You for Trying Our Product
FEATURES
WE ACCEPT
Visit us athttps://www.examsboost.com/test/iia-cia-part3/