Get Nov-2025 updated IIA-CIA-Part3-3P Certification Exam Sample Questions
IIA-CIA-Part3-3P Study Guide Cover to Cover as Literally
NEW QUESTION # 109
Which of the following is a likely result of outsourcing?
- A. Increased dependence on suppliers.
- B. Decreased sensitivity to government regulation.
- C. Decreased focus on costs.
- D. Increased importance of market strategy.
Answer: C
NEW QUESTION # 110
What is the most significant potential problem introduced by just-in-time inventory systems?
- A. They require complicated materials-supply contracts.
- B. They prevent manufacturers from scaling up or down to meet changing demands.
- C. They require significant computer resources.
- D. They are susceptible to supply-chain disruptions.
Answer: D
NEW QUESTION # 111
A capital investment project will have a higher net present value, everything else being equal, if it has:
- A. A higher discount rate.
- B. Cash inflows that are larger in the earlier years of the life of the project.
- C. A higher initial investment level.
- D. Cash inflows that are larger in the later years of the life of the project.
Answer: B
NEW QUESTION # 112
Operational management in the IT department has introduced performance evaluation policies that are linked to employees achieving continuing education hours. This activity is designed to prevent which of the following conditions?
- A. Knowledge/skills gap
- B. Monitoring gap
- C. Accountability/reward failure.
- D. Communication failure.
Answer: A
NEW QUESTION # 113
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. 2 and 3 only
- B. 3 only
- C. 1 only
- D. 2 only
Answer: C
NEW QUESTION # 114
The first step in determining product price is:
- A. Evaluating prices set by the competitors.
- B. Determining the cost of the product.
- C. Selecting a pricing method.
- D. Developing pricing objectives.
Answer: D
NEW QUESTION # 115
Which of the following statements is true regarding an organization's inventory valuation1?
- A. The valuation will be incorrect it the inventory includes goods m transit shipped free on board (FOB) destination to another organization
- B. The valuation will be incorrect it the inventory includes goods in transit shipped FOB shipping point from another organization
- C. The valuation will be correct if the inventory includes goods received on consignment from another organization
- D. The valuation will be correct it the inventory includes goods sent on consignment to another organization
Answer: C
NEW QUESTION # 116
According to IIA guidance on IT. which of the following plans would pair the identification of critical business processes with recovery time objectives?
- A. The business case for business continuity planning
- B. The business impact analysis plan
- C. The business continuity management charter.
- D. The business continuity risk assessment plan
Answer: B
NEW QUESTION # 117
The critical path for any project is the path that exhibits which of the following characteristics?
- A. Requires the largest amount of labor
- B. Is deemed most important to the project.
- C. Has the longest duration in time.
- D. Costs the most money.
Answer: C
NEW QUESTION # 118
Which of the following statements best describes the frameworks set forth by the International Standards Organization?
- A. Practical guidance and benchmarks for all organizations that use information systems.
- B. Globally accepted standards for industries and processes.
- C. Bridging the gaps among control requirements, technical issues, and business risks.
- D. Frameworks and guidance on enterprise risk management, internal control, and fraud deterrence.
Answer: B
NEW QUESTION # 119
Which of the following analytical techniques would an internal auditor use to verify that none of an organization's employees are receiving fraudulent invoice payments?
- A. Calculate statistical parameters.
- B. Perform duplicate testing.
- C. Join different data sources.
- D. Perform gap testing.
Answer: A
NEW QUESTION # 120
Which of the following are the most common characteristics of big data?
- A. Continuity, control convenience
- B. Visibility, validity, vulnerability
- C. Complexity completeness constancy
- D. Velocity, variety volume.
Answer: D
NEW QUESTION # 121
A holding company set up a centralized group technology department, using a local area network with a mainframe computer to process accounting information for all companies within the group. An internal auditor would expect to find all of the following controls within the technology department except:
- A. Established procedures to prevent and detect unauthorized changes to data files.
- B. Documented procedures for remote job entry and for local data file retention.
- C. Adequate segregation of duties between data processing controls and file security controls.
- D. Emergency and disaster recovery procedures and maintenance agreements in place to ensure continuity of operations.
Answer: B
NEW QUESTION # 122
An organization is projecting sales of 100,000 units, at a unit price of $12. Unit variable costs are $7. If fixed costs are $350,000, what is the projected total contribution margin?
- A. $500,000
- B. $350,000
- C. $1,200,000
- D. $850,000
Answer: A
NEW QUESTION # 123
According to the International Professional Practices Framework, which of the following statements is true regarding a corporate social responsibility (CSR) program?
1) Every employee generally has a responsibility for ensuring the success of CSR objectives.
2) The board has overall responsibility for the effectiveness of internal control processes associated with CSR.
3) Public reporting on the CSR governance process is expected.
4) Organizations generally have flexibility regarding what is included in a CSR program.
- A. 2, 3, and 4 only
- B. 1, 2, and 3 only
- C. 1, 3, and 4 only
- D. 1, 2, and 4 only
Answer: D
NEW QUESTION # 124
Which of the following is a role of the board of directors in the governance process?
- A. Conduct periodic assessments of the organization's governance systems.
- B. Review and approve operational goals and objectives.
- C. Implement an effective system of internal controls to support the organization's governance systems.
- D. Obtain assurance concerning the effectiveness of the organization's governance systems.
Answer: D
NEW QUESTION # 125
Which of the following options correctly defines a transmission control protocol/Internet protocol (TCP/IP)?
- A. System software that acts as an interface between a user and a computer.
- B. A standardized set of guidelines that facilitates communication between computers on different networks.
- C. A network of servers used to control a variety of mission-critical operations.
- D. System software that translates hypertext markup language to allow users to view a remote webpage.
Answer: B
NEW QUESTION # 126
In creating a risk-based plan, which of the following best describes a top-down approach to understanding business processes?
- A. Identifying the processes at the activity level.
- B. Analyzing the organization's objectives and identifying the processes needed to achieve the objectives.
- C. Analyzing the organization's strategic plan where the business processes are defined.
- D. Identifying the risks affecting the organization, the objectives, and then the processes concerned.
Answer: B
NEW QUESTION # 127
An internal auditor is trying to assess control risk and the effectiveness of an organization's internal controls.
Which of the following audit procedures would not provide assurance to the auditor on this matter?
- A. Inspecting manuals and documents.
- B. Reading the board's minutes.
- C. Observing the organization's operations.
- D. Interviewing the organization's employees.
Answer: B
NEW QUESTION # 128
Which of the following re a result of implementing an e-commerce system, which relies heavily on electronic data interchange and electronic funds transfer, for purchasing and billing?
- A. Higher cash flow and treasury balances
- B. Higher accounts payable
- C. Higher accounts receivable
- D. Higher inventory balances
Answer: C
NEW QUESTION # 129
......
100% Real & Accurate IIA-CIA-Part3-3P Questions and Answers with Free and Fast Updates: https://www.prep4sures.top/IIA-CIA-Part3-3P-exam-dumps-torrent.html
Get Unlimited Access to IIA-CIA-Part3-3P Certification Exam Cert Guide: https://drive.google.com/open?id=1l9Oi_JR1sbEqF_84uWvylbjcDBRNrpDb