IIA-CIA-PART3 PREMIUM EXAM | IIA-CIA-PART3 NEW CRAM MATERIALS

IIA-CIA-Part3 Premium Exam | IIA-CIA-Part3 New Cram Materials

IIA-CIA-Part3 Premium Exam | IIA-CIA-Part3 New Cram Materials

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IIA Business Knowledge for Internal Auditing Sample Questions (Q416-Q421):

NEW QUESTION # 416
The emergence of electronic data interchange EDI) as standard operating practice increases the risk of:

  • A. Inadequate knowledge bases.
  • B. Unsuccessful system use.
  • C. Unauthorized third-party access to systems
  • D. Systematic programming errors.

Answer: C

Explanation:
EDI is the communication of electronic documents directly from a computer in one entity to a computer in another entity. EDI for business documents between unrelated parties has the potential to increase the risk of unauthorized third-party access to systems because more outsiders will have access to internal systems.


NEW QUESTION # 417
If a country uses trade quotas to overcome chronic trade deficits, what would the most likely outcome be?

  • A. Unemployment rates will decline and productivity rates will rise.
  • B. Unemployment and productivity rates will rise.
  • C. Unemployment rates will rise and productivity rates will decline.
  • D. Unemployment and productivity rates will decline.

Answer: D

Explanation:
With trade quotas, home jobs will be saved, hence, unemployment will decline. Since jobs will be saved for inefficient industries less efficient than foreign competitors), productivity rates will decline because they will not be specializing in those goods with which they have a comparative advantage.


NEW QUESTION # 418
Which of the following would best prevent unauthorized external changes to an organization's data?

  • A. Antivirus software, firewall, backup procedures.
  • B. Antivirus software, firewall, data encryption.
  • C. Firewall, data encryption, backup procedures.
  • D. Antivirus software, data encryption, change logs.

Answer: B


NEW QUESTION # 419
Which of the following statements is false regarding the internal audit approach when a set of standards other than The IIA's Standards is applicable to a specific engagement?

  • A. If the other standards are government-issued, the internal auditor should apply them in conjunction with The IIA's Standards.
  • B. The internal auditor may cite the use of other standards during audit communications.
  • C. If there are inconsistencies between the other standards and The IIA's Standards, the internal auditor must use the less restrictive standards.
  • D. If there are inconsistencies between the other standards and The IIA's Standards, the internal auditor must use the more restrictive standards.

Answer: C


NEW QUESTION # 420
A distribution channel moves goods from producers to customers. Suppose a channel has four producers, each serving the same four customers, and no middlemen. If a distributor is introduced, the number of contacts among producers, customers, and the distributor) in the channel will:

  • A. Increase from 8 to 16.
  • B. Be unaffected.
  • C. Decrease from 8 to 4.
  • D. Decrease from 16 to 8.

Answer: D

Explanation:
The number of contacts without a distributor is 16 four producers four customers). The number with a distributor is 8 four producers +four customers). Thus, the effort required of producers and consumers is reduced by the distributor, thereby increasing marketing efficiency.


NEW QUESTION # 421
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