IIA IIA-CIA-PART4 Online Practice
Questions and Exam Preparation
IIA-CIA-PART4 Exam Details
Exam Code
:IIA-CIA-PART4
Exam Name
:Certified Internal Auditor - Part 4, Business Management Skills
Certification
:IIA Certifications
Vendor
:IIA
Total Questions
:535 Q&As
Last Updated
:May 29, 2026
IIA IIA-CIA-PART4 Online Questions &
Answers
Question 361:
Among the non-financial rewards to an employee, a paid vacation trip can best be categorized as:
A. Social reward. B. Token award. C. Visual/auditory reward. D. Manipulatetables.
B. Token award.
Token awards are normally nonrecurring. They show appreciation for the role of the employee. Other similar examples are gift coupons, stock options, early time off with pay, or dinner and theater tickets.
Question 362:
Dual reporting is most characteristic of which method of departmentation?
A. Territorial. B. Functional. C. Product. D. Matrix.
D. Matrix.
A matrix organization consists of a project team of people from various functional areas within the organization. These specialists report simultaneously to the project manager and the managers of their functional departments. At the end of the project, the team is disbanded.
Question 363:
Telecommuting, working away from the office and communicating via electronic media, has become more widespread as advances in communication devices have made telecommuting more practical. All of the following are problems that are beginning to be associated with employees using telecommuting except that the telecommuting employees:
A. Fall behind in their fields of specialization. B. Lack strong working relationships. C. Experience a loss of career opportunities. D. Lack sufficient communication skills.
D. Lack sufficient communication skills.
People who are computer literate have in recent years begun working from their homes via telecommunication devices. Problems include lack of reliable telephone lines, a potential increase in management's work load, the loss of in-office contributions, a tendency to fall behind in fields of specialization, a lack of strong working relationships with other employees, a loss of career opportunities, and inadequate socialization. The primary strength of these individuals, however, has been their communication skills.
Question 364:
Departmentalization is a common form of business integration. Grouping together all related jobs, activities, and processes for a given business objective into a major organizational subunit is an example of:
A. Product-service departmentalization. B. Functional departmentalization. C. Geographic location departmentalization. D. Customer classification departmentalization.
A. Product-service departmentalization.
Departmentation by product or service is growing in importance for multiline, large-scale enterprises and is an outgrowth of functional departmentation. The result is that productservice subunits may be treated as separate businesses with a high degree of autonomy. Managers must therefore have a broad perspective, not a merely functional orientation.
Question 365:
A supportive behavior that a listener, such as an auditor or a supervisor, can use to encourage a speaker would be to:
A. Look away from the speaker to avoid any intimidation. B. Interject a similar incident or experience. C. Stop other activity or work while the person is talking. D. Not respond verbally until the speaker stops talking.
C. Stop other activity or work while the person is talking.
An effective listener enhances the communication process by sending appropriate nonverbal signals to the speaker. Thus, even though a person can probably listen and do some routine work, a listener who wishes to convey a positive and encouraging message should stop other activities and focus complete attention on the speaker.
Question 366:
Which one of the following statements about quality circles is false?
A. A quality circle is typically comprised of a group of 8 to 10 subordinates and supervisors. B. Part of the quality circle concept includes teaching participants communication skills, quality strategies, and problem analysis techniques. C. Quality circles meet on the company premises and on company time. D. The quality circle has the final control over implementation of recommended solutions.
D. The quality circle has the final control over implementation of recommended solutions.
Use of quality circles is a form of participative management. A quality circle is a group of up to 10 individuals managers and subordinates) who do similar work and who volunteer to meet weekly to discuss and solve work- related problems. However, management retains the right to make the final decisions.
Question 367:
Informal groups often have many favorable effects on the members. Which of the following is one of the favorable effects informal groups have on members but that may have an unfavorable effect on the organization?
A. Informal groups aid in problem-solving situations. B. Informal groups improve coordination and reduce supervision required. C. Informal groups reduce tension and encourage production. D. Informal groups provide another channel of communication.
D. Informal groups provide another channel of communication.
The additional channel of communication is a benefit to the informal group but may cause problems for the organization depending upon what messages are being communicated. This grapevine may cause the spread of false rumors or information and could be detrimental to the organization.
Question 368:
Which of the following is key to any plan to empower teams?
A. Give structure to team members. B. Monitor progress and offer timely feedback on performance. C. Reduce authority of the team when mistakes are made. D. Avoid tension and conflict within the team.
B. Monitor progress and offer timely feedback on performance.
Members of a team are empowered when they are properly trained and equipped, have the relevant information they need, are fully involved in decision making, and receive fair compensation for their work. Monitoring and feedback are keys to maintaining empowerment because they are necessary to team effectiveness. Team effectiveness is reflected in achievement of objectives, innovation, adaptability, commitment, and favorable evaluations by senior management.
Question 369:
Which of the following is not true with regard to informal groups?
A. Members of the group are susceptible to group pressure. B. The groups develop primarily to satisfy esteem needs. C. Almost all employees and managers are members of an informal group. D. Informal groups tend to be small and have simple relationships.
D. Informal groups tend to be small and have simple relationships.
Informal groups tend to be small and are often very complex. They develop their own leaders and usually result from the frequent interaction among individuals in the course of their work.
Question 370:
A company, the largest provider of mental health services in its area, was encountering personnel problems. The company's facilities housed many clients, but funding never seemed adequate to hire quality, live-in staff. A new administrator is determined to facilitate long-term employment of the best possible care-giving staff. Besides paying better wages, the administrator believes that the staff should be strongly motivated by the work itself. According to Maslow's hierarchy of needs, the best employees would have a need for:
A. Esteem. B. Belonging. C. Self-actualization. D. Safety and security.
C. Self-actualization.
Self-actualization is the highest level need in Maslow's hierarchy. Self-actualization refers to the desire to become what one is capable of becoming, to realize one's potential and accomplish to the limit of one's ability. It becomes important only after the lower level needs have been met. The work itself becomes the motivator after all lower level needs are satisfied.
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