IIA-CIA-PART3 Online Practice Questions and Answers

With the globalization of economies, many organizations have expanded their operations to international locations. As an advisor to management, an internal auditor will most likelyrecommend that a geocentric, or worldwide, attitude be adopted. Select the reason the geocentric attitude is preferred.

A. It promotes a simpler organizational structure.

B. It provides greater autonomy for host country managers.

C. It provides the best balance of local and worldwide objectives.

D. It promotes tighter organizational control.

A weakness of cohesive groups may be:

A. Conformity.

B. Groupthink.

C. The development of norms.

D. Commitment by members.

Which of the following is the best indicator of the effectiveness of a communication on a receiver?

A. Understanding of message received.

B. Clarity of message.

C. Change in receiver's attitude.

D. Change in receiver's behavior.

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.

The main reason to establish internal controls in an organization is to:

A. Encourage compliance with policies and procedures.

B. Safeguard the resources of the organization.

C. Ensure the accuracy, reliability, and timeliness of information.

D. Provide reasonable assurance on the achievement of objectives.

Which audit approach should be employed to test the accuracy of information housed in a database on an un- networkedcomputer?

A. Submit batches of test transactions through the current system and verify with expected results.

B. Use a test program to simulate the normal data entering process.

C. Select a sample of records from the database and ensure it matches supporting documentation.

D. Evaluate compliance with the organization's change management process.

A retail organization is considering acquiring a composite textile company. The retailer's due diligence team determined the value of the textile company to be $50 million. The financial experts forecasted net present value of future cash flows to be $60 million. Experts at the textile company determined their company's market value to be $55 million if purchased by another entity. However, the textile company could earn more than $70 million from the retail organization due to synergies. Therefore, the textile company is motivated to make the negotiation successful. Which of the following approaches is most likely to result in a successful negotiation?

A. Develop a bargaining zone that lies between $50 million and $70 million and create sets of outcomes between $50 million and $70 million.

B. Adopt an added-value negotiating strategy, develop a bargaining zone between $50 million and $70 million, and create sets of outcomes between $50 million and $70 million.

C. Involve a mediator as a neutral party who can work with the textile company's management to determine a bargaining zone.

D. Develop a bargaining zone that lies between $55 million and $60 million and create sets of outcomes between $55 million and $60 million.

Which of the following responsibilities would ordinarily 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.

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.

According to IIA guidance on IT, which of the following best describes a logical access control?

A. Require complex passwords to be established and changed quarterly.

B. Require swipe cards to control entry into secure data centers.

C. Monitor access to the data center with closed circuit camera surveillance.

D. Maintain current role definitions to ensure appropriate segregation of duties.