Summer Goodies - 55% Discount Offer - Ends in 0d 00h 00m 00s - Coupon code: av5rz84q

Exact2Pass Menu

Question # 4

What relationship exists between decentralization and the degree, importance, and range of lower-level decision making?

A.

Mutually exclusive relationship.

B.

Direct relationship.

C.

Intrinsic relationship.

D.

Inverse relationship.

Full Access
Question # 5

Which of the following measures would best protect an organization from automated attacks whereby the attacker attempts to identify weak or leaked passwords in order to log into employees' accounts?

A.

Requiring users to change their passwords every two years.

B.

Requiring two-step verification for all users

C.

Requiring the use of a virtual private network (VPN) when employees are out of the office.

D.

Requiring the use of up-to-date antivirus, security, and event management tools.

Full Access
Question # 6

Which of the following would be a concern related to the authorization controls utilized for a system?

A.

Users can only see certain screens in the system.

B.

Users are making frequent password change requests.

C.

Users Input Incorrect passwords and get denied system access

D.

Users are all permitted uniform access to the system.

Full Access
Question # 7

Which of the following best describes a potential benefit of using data analyses?

A.

It easily aligns with existing internal audit competencies to reduce expenses

B.

It provides a more holistic view of the audited area.

C.

Its outcomes can be easily interpreted into audit: conclusions.

D.

Its application increases internal auditors' adherence to the Standards

Full Access
Question # 8

Which of the following is true of bond financing, compared to common stock, when alJ other variables are equal?

A.

Lower shareholder control

B.

lower indebtedness

C.

Higher company earnings per share.

D.

Higher overall company earnings

Full Access
Question # 9

Which of the following performance measures disincentives engaging in earnings management?

A.

Linking performance to profitability measures such as return on investment.

B.

Linking performance to the stock price.

C.

Linking performance to quotas such as units produced.

D.

Linking performance to nonfinancial measures such as customer satisfaction and employees training

Full Access
Question # 10

According to IIA guidance, which of the following statements is true with regard to workstation computers that access company Information stored on the network?

A.

Individual workstation computer controls are not as important as companywide server controls.

B.

Particular attention should be paid to housing workstations away from environmental hazards.

C.

Cyber security issues can be controlled at an enterprise level, making workstation level controls redundant.

D.

With security risks near an all-time high, workstations should not be connected to the company network.

Full Access
Question # 11

Which of the following best describes a transformational leader, as opposed to a transactional leader?

A.

The leader searches for deviations from the rules and standards and intervenes when deviations exist.

B.

The leader intervenes only when performance standards are not met.

C.

The leader intervenes to communicate high expectations.

D.

The leader does not intervene to promote problem-solving

Full Access
Question # 12

Which of the following best explains why an organization would enter into a capital lease contract?

A.

To increase the ability to borrow additional funds from creditors

B.

To reduce the organization's free cash flow from operations

C.

To Improve the organization's free cash flow from operations

D.

To acquire the asset at the end of the lease period at a price lower than the fair market value

Full Access
Question # 13

Management has established a performance measurement focused on the accuracy of disbursements. The disbursement statistics, provided daily to ail accounts payable and audit staff, include details of payments stratified by amount and frequency. Which of the following is likely to be the greatest concern regarding this performance measurement?

A.

Articulation of the data

B.

Availability of the data.

C.

Measurability of the data

D.

Relevance of the data.

Full Access
Question # 14

Which of the following application controls, implemented by management, monitors data being processed to ensure the data remains consistent and accurate?

A.

Management trail controls

B.

Output controls.

C.

Integrity controls

D.

input controls

Full Access
Question # 15

Which of the following security controls would provide the most efficient and effective authentication for customers to access these online shopping account?

A.

12-digit password feature.

B.

Security question feature.

C.

Voice recognition feature.

D.

Two-level sign-on feature

Full Access
Question # 16

Which of the following is an established systems development methodology?

A.

Waterfall.

B.

Projects in Controlled Environments (PRINCE2).

C.

Information Technology Infrastructure Library (ITIL).

D.

COBIT

Full Access
Question # 17

According to IIA guidance, which of the following is a broad collection of integrated policies, standards, and procedures used to guide the planning and execution of a project?

A.

Project portfolio.

B.

Project development

C.

Project governance.

D.

Project management methodologies

Full Access
Question # 18

An analytical model determined that on Friday and Saturday nights the luxury brands stores should be open for extended hours and with a doubled number of employees

present; while on Mondays and Tuesdays costs can be minimized by reducing the number of employees to a minimum and opening only for evening hours Which of the

following best categorizes the analytical model applied?

A.

Descriptive.

B.

Diagnostic.

C.

Prescriptive.

D.

Prolific.

Full Access
Question # 19

Which of the following data security policies is most likely to be the result of a data privacy law?

A.

Access to personally identifiable information is limited to those who need It to perform their job.

B.

Confidential data must be backed up and recoverable within a 24-hour period.

C.

Updates to systems containing sensitive data must be approved before being moved to production.

D.

A record of employees with access to insider information must be maintained, and those employees may not trade company stock during blackout periods

Full Access
Question # 20

Which of the following represents a basis for consolidation under the International Financial Reporting Standards?

A.

Variable entity approach.

B.

Control ownership.

C.

Risk and reward.

D.

Voting interest.

Full Access
Question # 21

An organization's account for office supplies on hand had a balance of $9,000 at the end of year one. During year two. The organization recorded an expense of $45,000 for purchasing office supplies. At the end of year two. a physical count determined that the organization has $11 ,500 in office supplies on hand. Based on this Information, what would he recorded in the adjusting entry an the end of year two?

A.

A debit to office supplies on hand for S2.500

B.

A debit to office supplies on hand for $11.500

C.

A debit to office supplies on hand for $20,500

D.

A debit to office supplies on hand for $42,500

Full Access
Question # 22

During which of the following phases of contracting does the organization analyze whether the market is aligned with organizational objectives?

A.

Initiation phase

B.

Bidding phase

C.

Development phase

D.

Negotiation phase

Full Access
Question # 23

An internal auditor identified a database administrator with an incompatible dual role. Which of the following duties should not be performed by the identified administrator?

A.

Designing and maintaining the database.

B.

Preparing input data and maintaining the database.

C.

Maintaining the database and providing its security,

D.

Designing the database and providing its security

Full Access
Question # 24

Which of the following best describes a man-in-the-middle cyber-attack?

A.

The perpetrator is able to delete data on the network without physical access to the device.

B.

The perpetrator is able to exploit network activities for unapproved purposes.

C.

The perpetrator is able to take over control of data communication in transit and replace traffic.

D.

The perpetrator is able to disable default security controls and introduce additional vulnerabilities

Full Access
Question # 25

A company records income from an investment in common stock when it does which of the following?

A.

Purchases bonds.

B.

Receives interest.

C.

Receives dividends

D.

Sells bonds.

Full Access
Question # 26

Management is designing its disaster recovery plan. In the event that there is significant damage to the organization's IT systems this plan should enable the organization to resume operations at a recovery site after some configuration and data restoration. Which of the following is the ideal solution for management in this scenario?

A.

A warm recovery plan.

B.

A cold recovery plan.

C.

A hot recovery plan.

D.

A manual work processes plan

Full Access
Question # 27

Management has decided to change the organizational structure from one that was previously decentralized to one that is now highly centralized. As such: which of the

following would be a characteristic of the now highly centralized organization?

A.

Top management does little monitoring of the decisions made at lower levels.

B.

The decisions made at the lower levels of management are considered very important.

C.

Decisions made at lower levels in the organizational structure are few.

D.

Reliance is placed on top management decision making by few of the organization's departments.

Full Access
Question # 28

Which of the following parties is most likely to be responsible for maintaining the infrastructure required to prevent the failure of a real-time backup of a database?

A.

IT database administrator.

B.

IT data center manager.

C.

IT help desk function.

D.

IT network administrator.

Full Access
Question # 29

An organization that relies heavily on IT wants to contain the impact of potential business disruption to a period of approximately four to seven days. Which of the following

business recovery strategies would most efficiently meet this organization's needs?

A.

A recovery strategy whereby a separate site has not yet been determined, but hardware has been reserved for purchase and data backups.

B.

A recovery strategy whereby a separate site has been secured and is ready for use, with fully configured hardware and real-time synchronized data

C.

A recovery strategy whereby a separate site has been secured and the necessary funds for hardware and data backups have been reserved.

D.

A recovery strategy whereby a separate site has been secured with configurable hardware and data backups.

Full Access
Question # 30

Which of the following IT disaster recovery plans includes a remote site designated for recovery with available space for basic services, such as internet and telecommunications, but does not have servers or infrastructure equipment?

A.

Frozen site

B.

Cold site

C.

Warm site

D.

Hot site

Full Access
Question # 31

Which of the following contract concepts is typically given in exchange for the execution of a promise?

A.

Lawfulness.

B.

Consideration.

C.

Agreement.

D.

Discharge

Full Access
Question # 32

An organization has an agreement with a third-party vendor to have a fully operational facility, duplicate of the original site and configured to the organization's needs, in order to quickly recover operational capability in the event of a disaster, Which of the following best describes this approach to disaster recovery planning?

A.

Cold recovery plan,

B.

Outsourced recovery plan.

C.

Storage area network recovery plan.

D.

Hot recovery plan

Full Access
Question # 33

Which of the following statements is true regarding the management-by-objectives method?

A.

Management by objectives is most helpful in organizations that have rapid changes.

B.

Management by objectives is most helpful in mechanistic organizations with rigidly defined tasks.

C.

Management by objectives helps organizations to keep employees motivated.

D.

Management by objectives helps organizations to distinguish clearly strategic goals from operational goals.

Full Access
Question # 34

Which of the following is an effective preventive control for data center security?

A.

Motion detectors.

B.

Key card access to the facility.

C.

Security cameras.

D.

Monitoring access to data center workstations

Full Access
Question # 35

An organization had a gross profit margin of 40 percent in year one and in year two. The net profit margin was 18 percent in year one and 13 percent in year two. Which of the following could be the reason for the decline in the net profit margin for year two?

A.

Cost of sales increased relative to sales.

B.

Total sales increased relative to expenses.

C.

The organization had a higher dividend payout rate in year two.

D.

The government increased the corporate tax rate

Full Access
Question # 36

The board of directors wants to implement an incentive program for senior management that is specifically tied to the long-term health of the organization. Which of the following methods of compensation would be best to achieve this goal?

A.

Commissions.

B.

Stock options

C.

Gain-sharing bonuses.

D.

Allowances

Full Access
Question # 37

Which of following best demonstrates the application of the cost principle?

A.

A company reports trading and investment securities at their market cost

B.

A building purchased last year for $1 million is currently worth ©1.2 million, but the company still reports the building at $1 million.

C.

A building purchased last year for ©1 million is currently worth £1,2 million , and the company adjusts the records to reflect the current value

D.

A company reports assets at either historical or fair value, depending which is closer to market value.

Full Access
Question # 38

When examining; an organization's strategic plan, an internal auditor should expect to find which of the following components?

A.

Identification of achievable goals and timelines

B.

Analysis of the competitive environment.

C.

Plan for the procurement of resources

D.

Plan for progress reporting and oversight.

Full Access
Question # 39

Which of the following is an example of a physical control designed to prevent security breaches?

A.

Preventing database administrators from initiating program changes

B.

Blocking technicians from getting into the network room.

C.

Restricting system programmers' access to database facilities

D.

Using encryption for data transmitted over the public internet

Full Access