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CIA Exam Part Three: Business Knowledge for Internal Auditing

Last Update 16 hours ago Total Questions : 488

The CIA Exam Part Three: Business Knowledge for Internal Auditing content is now fully updated, with all current exam questions added 16 hours ago. Deciding to include IIA-CIA-Part3-3P practice exam questions in your study plan goes far beyond basic test preparation.

You'll find that our IIA-CIA-Part3-3P exam questions frequently feature detailed scenarios and practical problem-solving exercises that directly mirror industry challenges. Engaging with these IIA-CIA-Part3-3P sample sets allows you to effectively manage your time and pace yourself, giving you the ability to finish any CIA Exam Part Three: Business Knowledge for Internal Auditing practice test comfortably within the allotted time.

Question # 11

The first step in determining product price is:

A.

Determining the cost of the product.

B.

Developing pricing objectives.

C.

Evaluating prices set by the competitors.

D.

Selecting a pricing method.

Question # 12

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

A.

To keep stock price constant.

B.

To keep shareholders ' equity constant.

C.

To increase shareholders ' equity.

D.

To enhance the stock liquidity.

Question # 13

Which of the following is not a common feature of cumulative preferred stock?

A.

Priority over common stock with regard to dilution of shares.

B.

Priority over common stock with regard to earnings.

C.

Priority over common stock with regard to dividend payment.

D.

Priority over common stock with regard to assets.

Question # 14

Which of the following would not impair the objectivity of internal auditor?

A.

Management assurance on risks.

B.

Implementing risk responses on behalf of management.

C.

Providing assurance that risks assessed are correctly evaluated.

D.

Setting the risk appetite.

Question # 15

Which stage in the industry life cycle is characterized by many different product variations?

A.

Introduction.

B.

Growth.

C.

Maturity.

D.

Decline.

Question # 16

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

A.

Antivirus software, firewall, data encryption.

B.

Firewall, data encryption, backup procedures.

C.

Antivirus software, firewall, backup procedures.

D.

Antivirus software, data encryption, change logs.

Question # 17

For an engineering department with a total quality management program, important elements of quality management include all of the following except:

A.

Basing performance evaluations on the number of projects completed.

B.

Comparing results with those of other engineering departments.

C.

Creating a quality council within the engineering department.

D.

Conducting post-project surveys on performance.

Question # 18

Which of the following descriptions of the internal control system are indicators that risks are managed effectively?

1) Existing controls promote compliance with applicable laws and regulations.

2) The control environment is designed to address all identified risks to the organization.

3) Key controls for significant risks to the organization remain consistent over time.

4) Monitoring systems are in place to alert management to unexpected events.

A.

1 and 3.

B.

1 and 4.

C.

2 and 3.

D.

2 and 4.

Question # 19

During a review of the accounts payable process, an internal auditor gathered all of the vendor payment transactions for the past 24 months. The auditor then used an analytics tool to identify the top five vendors that received the highest sum of payments.

Which of the following analytics techniques did the auditor apply?

A.

Process analysis.

B.

Process mining.

C.

Data analysis.

D.

Data mining.

Question # 20

A multinational organization has multiple divisions that sell their products internally to other divisions. When selling internally, which of the following transfer prices would lead to the best decisions for the organization?

A.

Full cost

B.

Full cost plus a markup.

C.

Market price of the product

D.

Variable cost plus a markup

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