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

IIA IIA-CIA-PART3 Online Questions & Answers

• Question 1271:

  In a report, an internal auditor stated that communication in theauditedarea was poor with employees deciding in advance which information should be given to management so as topresent themselves in the best possible light. This is an example of:

  A. Filtering.
  B. Selective perception.
  C. Emotion.
  D. Language.
  A. Filtering.

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  Explanation

  Filtering of a message is the sender's manipulation of information so that it will be viewed more favorably by the receiver. Filtering is a typical problem in upward communication, e.g., from employee to manager.

• Question 1272:

  An employee's self-actualization need would be met by:

  A. Attractive pension provisions.
  B. Challenging new job assignments.
  C. Good working conditions.
  D. Regular positive feedback.
  B. Challenging new job assignments.

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  Explanation

  Self-actualization is the highest human need. It is the desire to become what one is capable of becoming, to realize one's potential and accomplish to the limit of one's ability. In other words, the job itself is an intrinsic motivation; no extrinsic motivation such as rewards or reinforcements) is needed. Intrinsic motivation provides the worker with psychological income. Thus, challenging new job assignments meet an employee's self actualization needs.

• Question 1273:

  An organization plans to upgrade its IT network to address a recent ransomware incident that hampered operations for weeks. The ransomware was the result of lapses in access to the network that exposed sensitive information. Which of the following is a risk that could significantly be impacted by the organization's planned change to its IT network?

  A. The organization lacks the necessary senior management to ensure that project objectives are met
  B. The organization's recent hiring of additional staff to the IT department would create more scrutiny of end user activity
  C. The organization creates new processes and policies that employees feel are too burdensome
  D. The organization experiences continuing issues that hamper employees' ability to provide quality customer service
  C. The organization creates new processes and policies that employees feel are too burdensome

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  Explanation

• Question 1274:

  Which of the following is a type of network in which an organization permits specific users (such as existing customers) to have access to its internal network through the Internet by building a virtual private network?

  A. Intranet.
  B. Extranet.
  C. Digital subscriber line.
  D. Broadband.
  B. Extranet.

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  Explanation

• Question 1275:

  Strategic management includes establishment of appropriate controls. Control measurements are made to determine whether organizational objectives are being achieved. One category of strategic control measures concerns external effectiveness. A measurement relating to external effectiveness is:

  A. Cycle time.
  B. Waste.
  C. Flexibility.
  D. Productivity.
  C. Flexibility.

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  Explanation

  Strategic control measures may be categorized as concerning either external effectiveness or internal efficiency. Flexibility overlaps these categories. It relates to effectiveness and efficiency. Thus, an organization must be externally flexible in responding to changing customer needs and internally flexible in reordering its structural arrangements, retraining employees, etc.

• Question 1276:

  The structure of an organization generally follows its overall strategy. At one end are loosely structured, organic organizations. At the other end are highly centralized, tightly controlled, mechanistic organizations. Consider the overall strategy of a company that is a pioneer in the combination of laser and robotic technologies. The company's scientists and engineers hold many patents. They are continually looking for ways to improve their products as well as to introduce new ones. Identify the most appropriate structural option for this organization.

  A. Mechanistic.
  B. Imitative.
  C. Organic.
  D. Bureaucratic.
  C. Organic.

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  Explanation

  Organizational structure depends on the company's overall strategy. This organization has adopted an innovation strategy. It introduces major new products or services. The structure that provides the flexibility required for major innovation is organic, a form of organization characterized by a loose structure, low division of labor, low formalization, and decentralization.

• Question 1277:

  When using the absorption costing approach, which of the following should be categorized as a period cost?

  A. Selling expenses.
  B. Fixed manufacturing overhead.
  C. Direct labor.
  D. Variable manufacturing overhead.
  A. Selling expenses.

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  Explanation

• Question 1278:

  Which of the following is not an effective principle for guiding a manager's use of leadership techniques?

  A. Serve as a model of the behavior expected from others.
  B. Value accountability.
  C. Value differences.
  D. Follow written procedures at all times.
  D. Follow written procedures at all times.

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  Explanation

  Leadership is the act or process of influencing, inspiring, and guiding people so they will strive willingly toward the achievement of group objectives through common effort. Much management research has been devoted to determining the traits of leaders, leadership styles, and the situations in which particular styles are effective. However, a blind focus on internal process is a habit of administration, not of leadership. A manager of this type is called a bureaucratic leader. In the absence of a specific policy or procedure, (s)he seeks guidance from the next levelof management. In some situations, for example, when employees handle cash or highly delicate or dangerous equipment or chemicals, bureaucratic leadership may be needed.

• Question 1279:

  To market effectively the internal auditing function to management, auditors must recognize that their roles may result in varying degrees of conflict. Conflict triggers must be understood and managed so that a dysfunctional situation does not develop. Select the answer that is not a conflict trigger.

  A. Communication breakdowns.
  B. Super ordinategoals.
  C. Personality clashes.
  D. Status differentials.
  B. Super ordinategoals.

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  Explanation

  Conflict trigger include ambiguous jurisdictions (unclear job boundaries); competition for scarce resources; status differentials; time pressures; personality clashes; unreasonable standards, rules, etc.; communication breakdowns; and unrealized expectations. However, an appeal to super ordinate goals is a conflict resolution technique, not a conflict trigger.

• Question 1280:

  An organization's chief audit executive (CAE) scheduled an assurance engagement on the key processes and controls related to organizational culture. Which approach to auditing the organization's culture did the CAE use?

  A. Integrated approach.
  B. Top-down approach.
  C. Targeted approach.
  D. Blended approach
  C. Targeted approach.

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  Explanation