IIA-CIA-Part3 Valid Test Objectives - Authorized IIA-CIA-Part3 Certification

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Quiz 2023 IIA Unparalleled IIA-CIA-Part3: Business Knowledge for Internal Auditing Valid Test Objectives

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IIA Business Knowledge for Internal Auditing Sample Questions (Q289-Q294):

NEW QUESTION # 289
A corporation acquires a 30% voting interest in another. In this situation, the long-term investment is generally accounted for on the investor corporation's books using which of the following reporting methods?

A. Cost.
B. Lower-of-cost-or-market.
C. Consolidated.
D. Equity.

Answer: D

Explanation:
If an investor can exercise significant influence over an investee, the investment should be accounted for by the equity method. When a corporation owns 20% or more of the voting power of the investee, the ability to exercise significant influence is presumed.

NEW QUESTION # 290
Which of me following statements is most accurate concerning me management and audit of a web server?

A. The simple mail transfer protocol (SMTP) should be operating under me most privileged accounts
B. The number of ports and protocols allowed to access the web server should be maximized
C. The file transfer protocol (FTP) should always be enabled
D. Secure protocols for confidential pages should be used instead of clear-text protocol such as HTTP or FTP

Answer: D

NEW QUESTION # 291
What ensures that an entity is complying with the documented quality management system (QMS) procedures and ISO 9000 standards?

A. Management commitment.
B. Onsite inspections by an external auditor.
C. The registrar.
D. An internal audit system.

Answer: D

Explanation:
An important requirement of the ISO 9000 standards is an internal audit system. Internal audits ensure that the entity is complying with the documented QMS procedures and ISO 9000 standards.

NEW QUESTION # 292
Using the information collected, the organization should focus on:

A. The cost to alleviate all computer complaints.
B. The number of computer complaints associated with CD-ROM problems and new software usage.
C. The number of computer complaints associated with the lack of user knowledge and hardware problems.
D. The total number of personal computer complaints that occurred.

Answer: C

Explanation:
Complaints based on lack of user knowledge and hardware problems are by far the most frequent according to this chart. Consequently, the company should devote its resources primarily to these issues.

NEW QUESTION # 293
The EOQ (economic order quantity) model calculates the cost-minimizing quantity of a product to order, based on a constant annual demand, carrying costs per unit per annum, and cost per order. For example, the EOQ is approximately 447 units if the annual demand is 10,000 units, carrying costs are US $1 per item per annum, and the cost of placing an order is US $10. What will the EOQ be if the demand falls to 5,000 units per annum and the carrying and ordering costs remain at US $1 and US $10, respectively?

A. 0
B. 1
C. 2
D. 3

Answer: D

Explanation:
The EOQ formula is:

NEW QUESTION # 294
......

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