Free CIA Exam Part Three: Business Knowledge for Internal Auditing Exam IIA-CIA-Part3-3P Exam Practice Test

Which of the following is an example of a physical control designed to prevent security breaches?

• Preventing database administrators from initiating program changes.
• Blocking technicians from getting into the network room.
• Restricting system programmers' access to database facilities.
• Using encryption for data transmitted over the public internet.

Which of the following is a primary objective of the theory of constraints?

• Full or near capacity in processes.
• Smooth workflow among processes.
• Few or no defects.
• Lowered inventory levels.

During an audit of the organization's annual financial statements, the internal auditor notes that the current cost of goods sold percentage is substantially higher than in prior years. Which of the following is the most likely explanation for this increase?

• Cost of raw material inventory items is decreasing.
• Process to manufacture goods is more efficient.
• Labor productivity to produce goods is increasing.
• Write-off of inventory is increasing.

Which of the following is a project planning methodology that involves a complex series ot required simulations to provide information about schedule risk?

• Monte Carlo Analysis
• Project Management Information System (PMIS)
• Earned Value Management (EVM).
• Integrated Project Plan A

What would be the effect if an organization paid one of its liabilities twice during the year in error?

• Assets liabilities and owners' equity would be understated
• Assets net income and owners' equity would be unaffected
• Assets and liabilities would be understated
• Assets net income and owners' equity would be understated, but liabilities would be overstated

Which of the following statements about mentoring is true?1) Mentoring can be used effectively for increasing employee retention2) Mentoring can be used effectively in reducing employees frustration.3) Mentoring can be used effectively for increasing organization communication.4) Mentoring can be used effectively as a short term activity consisting of instruction and training

• 1 2. and 3 only.
• 1. 2 and 4 only
• 1, 3. and 4 only.
• 1,2. 3, and 4

At what point during the systems development process should an internal auditor verify that the new application's connectivity to the organization's other systems has been established correctly?

• Prior to testing the new application.
• During testing of the new application.
• During implementation of the new application.
• During maintenance of the new application.

An internal auditor is assigned to perform data analytics. Which of the following is the next step the auditor should undertake after she has ascertained the value expected from the review?

• Normalize the data
• Obtain the data
• identify the risks
• Analyze the data

Which of the following are included in ISO 31000 risk principles and guidelines?

• Standards, framework, and process.
• Standards, assessments, and process.
• Principles, framework, and process.
• Principles, practices, and process.

An organization's account for office supplies on hand had a balance of S9,000 at the end of year one. During year two. the organization recorded an expense of $45,000 for purchasing office supplies. At the end of year two. a physical count determined that the organization has $11,500 in office supplies on hand. Based on this information, what would be recorded in the adjusting entry at the end of year two?

• A debit to office supplies on hand for S2.500
• A debit to office supplies on hand for $11,500
• A debit to office supplies on hand for S20.500
• A debit to office supplies on hand for S42.500