IIA IIA-CIA-PART3 Online Practice Questions and Exam Preparation

IIA IIA-CIA-PART3 Online Questions & Answers

• Question 111:

  Which of the following best describes the purpose of fixed manufacturing costs?

  A. To ensure availability of production facilities
  B. To decrease direct expenses related to production
  C. To incur stable costs despite operating capacity
  D. To increase the total unit cost under absorption costing
  A. To ensure availability of production facilities

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  Explanation

• Question 112:

  Departmentation is the grouping of organizational subsystems. The greatest advantage of functional Departmentation is that it:

  A. Provides the benefits of specialization.
  B. Facilitates communication between primary functions.
  C. Helps to focus on achievement of organizational goals.
  D. Is appropriate for geographically dispersed companies.
  A. Provides the benefits of specialization.

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  Explanation

  Departmentation by function is the most widely used method and is found in almost every enterprise at some level. The most common departments are selling, production, and finance though other terms maybe used). These often extend

  upward in the organizational chart to the level below the chief executive. If persons within a department have similar knowledge, skills, and interests, they can specialize in the solution of particular problems.

  Thus, problem solving becomes more efficient.

• Question 113:

  Which of the following database components stores metadata regarding the database's own configuration, setup, and objects?

  A. Database table.
  B. Program files.
  C. Backup system.
  D. Data dictionary.
  D. Data dictionary.

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  Explanation

• Question 114:

  While auditing an organization's customer call center, an internal auditor notices that key performance indicators show a positive trend, despite the fact that there have been increasing customer complaints over the same period.

  Which of the following audit recommendations would most likely correct the cause of this inconsistency?

  A. Review the call center script used by customer service agents to interact with callers, and update the script if necessary.
  B. De-emphasize the importance of call center employees completing a certain number of calls per hour.
  C. Retrain call center staff on area processes and common technical issues that they will likely be asked to resolve.
  D. Increase the incentive for call center employees to complete calls quickly and raise the number of calls completed daily.
  C. Retrain call center staff on area processes and common technical issues that they will likely be asked to resolve.

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  Explanation

• Question 115:

  Capacity overbuilding is most likely to occur when management is focused on which of the following?

  A. Marketing.
  B. Finance.
  C. Production.
  D. Diversification.
  C. Production.

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  Explanation

• Question 116:

  A project coordinator for a large capital project used a brainstorming session of the senior project managers to decide how to get the project back on schedule. A disadvantage of this approach is that:

  A. Responsibility for the decision will be unclear.
  B. Only situational factors will be addressed.
  C. Creativity will be decreased.
  D. Diversity of views will be decreased.
  A. Responsibility for the decision will be unclear.

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  Explanation

  Brainstorming is an aid to creativity in group decision making. This technique requires a group meeting, possibly online, to develop solutions in a criticism-free context. All ideas are recorded and are later either discarded or more fully developed. Thus, a nonjudgmental environment is essential. Moreover, to create such an environment or to avoid having personality conflicts interfere with the process, a means of conferring anonymity on the participants is sometimes used. However, brainstorming suffers from a structural weakness of group decision making, dispersal of accountability.

• Question 117:

  The organizational chart: A. Is used only in centralized organizations.

  B. Is applicable only to profit-oriented companies.

  C. Depicts only line functions.

  D. Depicts the lines of authority linking various positions.

  Correct Answer. D
  D

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  Explanation

  An organizational chart is used to represent the organizational structure of an entity. It normally resembles a pyramid, with the chief executive on top and the operating work force on the bottom. Lines show reporting relationships, lines of authority, and task groupings. An organizational chart depicts promotional or career tracks and illustrates the span of control and the number of organizational levels.

• Question 118:

  In which industry structure is differentiation absent, and all sellers charge the same price?

  A. Monopoly.
  B. Monopolistic competition.
  C. Oligopoly.
  D. Pure competition.
  D. Pure competition.

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  Explanation

  An industry consists of firms selling products or services that are substitutes. One way to describe an industry considers the number of sellers and the extent of differentiation ofproducts and services. In pure competition, differentiation is absent, and the same prices are charged by all sellers.

• Question 119:

  Which of the following physical security controls is able to serve as both a detective and preventive control?

  A. Authentication logs.
  B. Card key readers.
  C. Biometric devices
  D. Video surveillance.
  D. Video surveillance.

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  Explanation

• Question 120:

  Which of the following is a sound network configuration practice to enhance information security?

  A. Change management practices to ensure operating system patch documentation is retained
  B. User role requirements are documented in accordance with appropriate application-level control needs
  C. Validation of intrusion prevention controls is performed to ensure intended functionality and data integrity
  D. Interfaces reinforce segregation of duties between operations administration and database development
  C. Validation of intrusion prevention controls is performed to ensure intended functionality and data integrity

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  Explanation