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IIA-CIA-Part3 exam is a certification exam that is designed to test the knowledge and skills of individuals who are interested in pursuing a career in internal auditing. IIA-CIA-Part3 Exam is part of the Certified Internal Auditor (CIA) program offered by the Institute of Internal Auditors (IIA) and is focused on the business knowledge required for internal auditing.
NEW QUESTION # 274
A company using EDI tracked the functional acknowledgments from trading partners and issue warning messages if acknowledgments did not occur within a reasonable length of
time. What risk was the company attempting to address by this practice?
Answer: D
Explanation:
Tracking of customers' functional acknowledgments, when required, will help to ensure successful transmission of EDI transactions. Some possible controls include the provision of end-to-end acknowledgments, particularly when multiple, interconnected networks are involved, and maintenance of a tickler file of outstanding functional acknowledgments, with issuance of warnings for those that are overdue.
NEW QUESTION # 275
A manager discovers by chance that a newly hired employee has strong beliefs that are very different from the manager's and from those of most of the other employees. The manager's best course of action would be to:
Answer: A
Explanation:
The only legitimate grounds on which the supervisor may take action is the employee's behavior. Personal beliefs, such as those an religious and political matters, cannot be the basis of personnel actions. Discrimination an the basis of personal beliefs could expose the organization to legal action.
NEW QUESTION # 276
Which of the following stages of group development is associated with accepting team responsibilities?
Answer: A
NEW QUESTION # 277
An inventory planning method that minimizes inventories by arranging to have raw materials and subcomponents arrive immediately preceding their use is called:
Answer: A
Explanation:
JIT is a manufacturing philosophy popularized by the Japanese that combines purchasing, production, and inventory control. As with MRP. minimization of inventory is a goal; however. JIT also encompasses changes in the production process itself. An emphasis on quality and a "pull" of materials related to demand are key differences between JIT and MRP. The factory is organized so as to bring materials and tools close to the point of use rather than keeping them in storage areas. A key element of the JIT system is reduction or elimination of waste of materials, labor, factory space, and machine usage. Minimizing inventory is the key to reducing waste. When a part is needed on the production line, it arrives just in time, not before. Daily deliveries from suppliers are the ultimate objective, and some Japanese users have been able to get twice-daily deliveries.
NEW QUESTION # 278
Statistical quality control often involves the use of control charts whose basic purpose is to:
Answer: A
Explanation:
Statistical control charts are graphic aids for monitoring the status of any process subject to random variations. The chart consists of three horizontal lines plotted on a horizontal time scale. The vertical scale represents the appropriate quantitative measure. The center line represents the average range or overall mean for the process being controlled. The other two lines are the upper control limit and the lower control limit. The processes are measured periodically, and the values are plotted on the chart. If the value falls within the control limits, no action is taken. If the value falls outside the limits, the process is considered "out of control," and an investigation is made for possible corrective action. Another advantage of the chart is that it makes trends visible.
NEW QUESTION # 279
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