IIA-CIA-PART3 Online Practice Questions and Answers

Which of the following is an advantage of a tall organizational structure?

A. The flow of communications from top to bottom and bottom to top is improved.

B. The organization's overall objectives are familiar to all employees.

C. More opportunity to advance.

D. Labor expenses are reduced.

Under "groupthink,"

A. There is a tendency to conform to the majority's will and to ignore relevant individual input that is at variance with group opinion.

B. The group is not required to reach consensus.

C. The extent of groupthink is proportional to the size of the group.

D. There are too many alternatives to facilitate decision making.

The basic purposes of an organization's internal communications network include all of the following except:

A. Obtaining a common focus among employees.

B. Informing potential investors about company operations and financial results.

C. Aiding high-quality decision making.

D. Integrating the efforts of specialists.

Which of the following is false with regard to email policies?

A. Employees may use informal writing because email is often informal in nature.

B. Employees should understand that the organization has a legal right to monitor the employees' use of the email system.

C. Filters should be used to protect against spam.

D. Emails should be concisely written.

Which of the following activities most significantly increases the risk that a bank will make poor-quality loans to its customers?

A. Borrowers may not sign all required mortgage loan documentation.

B. Fees paid by the borrower at the time of the loan may not be deposited in a timely manner.

C. The bank's loan documentation may not meet the government's disclosure requirements.

D. Loan officers may override the lending criteria established by senior management.

Which of the following control techniques would minimize the risk of interception during transmission in an electronic data interchange system?

1.

Encryption.

2.

Trafficpadding.

3.

Edit checks.

4.

Structured data format.

A. 1 and 2 only

B. 2 and 3 only

C. 3 and 4 only

D. 1, 2, and 3 only

The economic order quantity can be calculated using the following formula: Which of the following describes how the optimal order size will change if the annual demand increases by 36 percent?

A. Decrease by about 17 percent.

B. Decrease by about 7 percent.

C. Increase by about 7 percent.

D. Increase by about 17 percent.

An internal auditor is using data analytics to focus on high-risk areas during an engagement. The auditor has obtained data and is working to eliminate redundancies in the data. Which of the following statements is true regarding this scenario?

A. The auditor is normalizing data in preparation for analyzing it.

B. The auditor is analyzing the data in preparation for communicating the results.

C. The auditor is cleaning the data in preparation for determining which processes may be involved.

D. The auditor is reviewing the data prior to defining the question.

Which of the following statements is most accurate concerning the management and audit of a web server?

A. The file transfer protocol (FTP) should always be enabled.

B. The simple mail transfer protocol (SMTP) should be operating under the most privileged accounts.

C. The number of ports and protocols allowed to access the web server should be maximized.

D. Secure protocols for confidential pages should be used instead of clear-text protocols such as HTTP or FTP.

Which of the following performance measures includes both profits and investment base?

A. Residual income.

B. A flexible budget.

C. Variance analysis.

D. A contribution margin income statement by segment.