IIA-CIA-Part3 exam

A chief audit executive (CAE) was asked to participate in the selection of an external auditor. Which of the following would not be a typical responsibility for the CAE?A . Evaluate the proposed external auditor fee.B . Recommend criteria to be used in the selection process.C . Develop appropriate performance...

Which of the following statements pertaining to a market skimming pricing strategy is not true?A . The strategy is favored when unit costs fall with the increase in units produced.B . The strategy is favored when buyers are relatively insensitive to price increases.C . The strategy is favored when there...

Which of the following statements regarding program change management is not correct?A . The goal of the change management process is to sustain and improve organizational operations.B . The degree of risk associated with a proposed change determines if the change request requires authorization.C . In order to protect the...

Which of the following professional organizations sets standards for quality and environmental audits?A . The Committee of Sponsoring Organizations of the Treadway Commission.B . The Board of Environmental, Health, and Safety Auditor Certifications.C . The International Organization of Supreme Audit Institutions.D . The International Standards Organization.View AnswerAnswer: D

5 Based on this data, which of the following describes the value of Cost X in relation to the value of Output Produced?A . Cost X is a variable cost.B . Cost X is a fixed cost.C . Cost X is a semi-fixed cost.D . Cost X and the value...

Which of the following is the most likely reason an organization may decide to undertake a stock split?A . To keep stock price constant.B . To keep shareholders' equity constant.C . To increase shareholders' equity.D . To enhance the stock liquidity.View AnswerAnswer: D

Provide broad oversight of implementation, training, and operation of new systems.A . 1, 2, and 3B . 1, 2, and 4C . 1, 3, and 4D . 2, 3, and 4View AnswerAnswer: D

Which of the following is an example of a nonfinancial internal failure quality cost?A . Decreasing gross profit margins over time.B . Foregone contribution margin on lost sales.C . Defective units shipped to customers.D . Excessive time to convert raw materials into finished goods.View AnswerAnswer: D

Which of the following price adjustment strategies encourages prompt payment?A . Cash discounts.B . Quantity discounts.C . Functional discounts.D . Seasonal discounts.View AnswerAnswer: A

According to the Standards, which of the following is based on the assertion that the quality of an organization's risk management process should improve with time?A . Process element.B . Key principles.C . Maturity model.D . Assurance.View AnswerAnswer: C