IIA IIA Certifications IIA-CIA-PART3-3P Questions & Answers

• Question 151:

  According to HA guidance or IT which of the following spreadsheets is most likely to be considered a high-risk user-develop application?

  A. A revenue calculation spreadsheet supported with price and volume reports from the production department

  B. An asset retirement calculation spreadsheet comprised of multiple formulas and assumptions

  C. An ad-hoc inventory listing spreadsheet comprising details of written-off inventory quantitates

  D. An accounts receivable reconciliation spreadsheet used by the accounting manager to verify balances.

  Correct Answer: B

• Question 152:

  According to IIA guidance on IT. which of the following would be considered a primary control for a spreadsheet to help ensure accurate financial reporting?

  A. Formulas and static data are locked or protected.

  B. The spreadsheet is stored on a network server that is backed up daily.

  C. The purpose and use of the spreadsheet are documented.

  D. Check-in and check-out software is used to control versions.

  Correct Answer: A

• Question 153:

  Which of the following should software auditors do when reporting internal audit findings related to enterprise wide resource planning?

  A. Draft separate audit reports for business and IT management

  B. Connect IT audit findings to business issues

  C. Include technical details to support IT issues

  D. Include an opinion on financial reporting accuracy and completeness

  Correct Answer: A

• Question 154:

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

  A. Management by objectives is most helpful in organizations that nave 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

  Correct Answer: C

• Question 155:

  An internal auditor is investigating a potential fraudulent activity. What is the first test the auditor should perform on the transaction data under scrutiny?

  A. Digital analysis for statistically unlikely occurrences that may indicate system tampering.

  B. Verification of the completeness and integrity of the obtained data.

  C. Detailed review of the data contents to strategize the best analytical techniques.

  D. Calculation of statistical parameters to identify outliers requiring further scrutiny.

  Correct Answer: B

• Question 156:

  During an audit of the organization's annual financial statements, the internal auditor notes that the current cost of goods sold percentage is substantially higher than in prior years. Which of the following is the most likely explanation for this increase?

  A. Cost of raw material inventory items is decreasing.

  B. Process to manufacture goods is more efficient.

  C. Labor productivity to produce goods is increasing.

  D. Write-off of inventory is increasing.

  Correct Answer: D

• Question 157:

  The board has requested that the internal audit activity be involved in all phases of the organization's outsourcing of its network management. During which of the following stages is the internal auditor most likely to verify that the organization's right-to-audit clause is drafted effectively?

  A. Implementation and transition phase.

  B. Monitoring and reporting phase

  C. Decision-making and business-case phase.

  D. Tendering and contracting phase.

  Correct Answer: D

• Question 158:

  Which type of bond sells at a discount from face value, then increases in value annually until it reaches maturity and provides the owner with the total payoff?

  A. High-yield bonds.

  B. Commodity-backed bonds.

  C. Zero coupon bonds.

  D. Junk bonds.

  Correct Answer: C

• Question 159:

  Which of the following factors is most likely to lead to a lack of cohesiveness in a project team?

  A. Prestige

  B. Small size.

  C. Competition

  D. Common threat

  Correct Answer: C

• Question 160:

  Which of me following responsibilities would ordinary fall under the help desk function of an organization?

  A. Maintenance service items such as production support

  B. Management of infrastructure services including network management

  C. Physical hosting of mainframes and distributed servers

  D. End-to-end security architecture design

  Correct Answer: C