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2025 IIA-CIA-Part3–100% Free Vce Format | Professional Pdf IIA-CIA-Part3 Version
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IIA-CIA-Part3 exam is a critical component of the CIA certification process, as it evaluates the candidate's ability to apply business knowledge and principles to internal auditing practices. IIA-CIA-Part3 exam covers a broad range of topics, including organizational structure, financial and managerial accounting, economics, statistics, risk management, and governance principles. IIA-CIA-Part3 exam aims to assess the candidate's understanding of how these concepts and principles relate to the role of internal auditing in an organization.
The IIA IIA-CIA-Part3 Exam is divided into six domains: governance and business ethics, risk management, organizational structure and business processes, communication, management and leadership principles, and information technology and business continuity. These domains cover a wide range of topics that are critical for internal auditors to understand in order to effectively assess and monitor an organization's operations.
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IIA-CIA-Part3 exam is conducted by the Institute of Internal Auditors (IIA), which is a professional organization that represents internal auditors worldwide. To take the exam, candidates must have completed the IIA-CIA-Part1 and IIA-CIA-Part2 exams. The IIA-CIA-Part3 exam is a four-hour computer-based exam that consists of 100 multiple-choice questions. IIA-CIA-Part3 Exam is designed to test the candidate's knowledge in four key areas: Business Acumen, Information Security, Information Technology, and Financial Management. Passing IIA-CIA-Part3 exam is an important step towards becoming a Certified Internal Auditor (CIA).
IIA Business Knowledge for Internal Auditing Sample Questions (Q97-Q102):
NEW QUESTION # 97
A seller's price is below an appropriate measure of costs. Moreover, the seller has a reasonable prospect of recovering the resulting loss in the future through higher prices or a greater market share. Accordingly, the seller has engaged in:
- A. Dumping.
- B. Predatory pricing.
- C. Collusive pricing.
- D. Price discrimination.
Answer: B
Explanation:
Predatory pricing is intentionally pricing below cost to eliminate competition and reduce supply. Many statutes prohibit the practice. Pricing is predatory when two conditions are met: (1) the seller's price is below an appropriate measure of its costs, and (2) it has a reasonable prospect of recovering the resulting loss through higher prices or greater market share.
NEW QUESTION # 98
A large hospital has an existing contract with a vendor in another country to provide software support and maintenance of the hospital's patient records information system. From the hospital management's perspective, which of the following controls would be most effective to address privacy risks related to this outsourcing arrangement?
- A. Conduct periodic reviews of the privacy policy to ensure that the existing policy meets current legislation requirements in both regions.
- B. Include a "right to audit" clause in the contract and impose detailed security obligations on the outsourced vendor
- C. Implement mandatory privacy training for management to help with identifying privacy risks when outsourcing services
- D. Develop an incident monitoring and response plan to track breaches from internal and external sources
Answer: B
NEW QUESTION # 99
Which of the following statements regarding benchmarking is false?
- A. Benchmarking is an ongoing process that entails quantitative and qualitative measurement of the difference between the company's performance of an activity and the performance by the best in the world or the best in the industry.
- B. Benchmarking involves continuously evaluating the practices of best-in-class organization and adapting company processes to incorporate the best of these practices.
- C. The benchmarking organization against which a firm is comparing itself must be a direct competitor.
- D. Benchmarking, in practice, usually involves a company's formation of benchmarking teams.
Answer: C
Explanation:
Benchmarking is an ongoing process that entails quantitative and qualitative measurement of the difference between the company's performance of an activity and the performance by a best-in-class organization. The benchmarking organization against which a firm is comparing itself need not be a direct competitor. The important consideration is that the benchmarking organization be an outstanding performer in its industry.
NEW QUESTION # 100
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?
- A. Identify the risks.Analyze the data.
- B. Normalize the data,
- C. Obtain the data
Answer: A
NEW QUESTION # 101
In the statement of cash flows, the payment of cash dividends appears in the <List A} activities section as a <List B- of cash.
- A. Option C
- B. Option A
- C. Option D
- D. Option B
Answer: D
Explanation:
Dividends paid may be treated as a cash outflow from financing activities because they are a cost of obtaining resources from owners. However, they may also be treated as operating items to help determine the entity's ability to pay dividends from operating cash flows.
NEW QUESTION # 102
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