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IIA-CIA-Part3 certification exam is designed for internal auditors who have a minimum of two years of experience in internal auditing or related fields. IIA-CIA-Part3 exam consists of 125 multiple-choice questions that are based on the latest standards and best practices in internal auditing. IIA-CIA-Part3 Exam is computer-based and takes approximately two and a half hours to complete.
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IIA-CIA-Part3 (Business Knowledge for Internal Auditing) Exam is a globally recognized certification exam designed to assess an individual's knowledge of business acumen and its role in internal auditing. IIA-CIA-Part3 exam is offered by the Institute of Internal Auditors (IIA), which is the leading professional association of internal auditors worldwide. Passing IIA-CIA-Part3 Exam is a critical step for individuals who want to become Certified Internal Auditors (CIA).
NEW QUESTION # 44
Management has implemented such controls as firewalls, password management, independent reconciliation, and audit trails. These controls should be reviewed and evaluated by the internal auditor when doing testing for which key e-commerce audit area?
Answer: C
Explanation:
An outline of a possible e-commerce audit protocol for key areas is given in PA 2100-6. In the outline, authentication is given as a possible key audit area, and to test for authentication, the internal auditor should review the policies for authenticating transactions and evaluating controls. Tools that management should have in place include firewalls, password management, independent reconciliation, and audit trails.
NEW QUESTION # 45
Copper Co will report year-end total assets of:
Answer: C
Explanation:
The year-end total assets can be determined by summing all of the assets and deducting accumulated depreciation including the current year's depreciation). Total accumulated depreciation at the end of the second year is US $120,000 [($600,000 - 10 years) x 2 years]. Total assets equal US $890,000$80,000 cash + $100,000 A/R + $230,000 El +$600,000 gross property, plant, and equipment- $120,000 accumulated depreciation).
Copper Co. had the pre-closing trial balance at December 31 shown below. Additional information: The balance of opening inventory was US $140,000. The long-term debt pays interest at a rate of 10% per annum, payable every 12 months. The debt was issued on July 1 of the current year and originally had 5 years to maturity. The assets classified as property, plant, and equipment have a 10-year estimated useful life and were 1 year old at the start of the current year Straight-line depreciation is used.
NEW QUESTION # 46
Which of the following is not one of the seven elements of risk?
Answer: C
Explanation:
The seven elements of risk are threat events, single loss exposure value, frequency, uncertainty. safeguards and controls, safeguard and control costs, and cost/benefit or ROI analysis. Timing, which is not a risk element, is when a risk may occur_ It is different from frequency, which is how often an uncertain event might occur.
NEW QUESTION # 47
An internal auditor conducts a data privacy audit engagement.
Which of the following will most likely be treated as personal information?
Answer: C
Explanation:
Internet protocol addresses are commonly treated as personal information because they can identify, locate, or be linked to an individual user, device, account, or household when combined with other data. In a privacy audit, internal auditors should treat IP addresses as sensitive because they may reveal browsing activity, access locations, system usage, and user behavior. Behavioral information and mobile device identifiers can also be sensitive in certain contexts, but the most broadly recognized answer is IP addresses. Device type alone is usually less specific and may not identify a person without other data. Internal auditors should evaluate whether personal information is classified, protected, retained properly, and processed according to privacy requirements. Therefore, Option B is correct.
NEW QUESTION # 48
A contractual arrangement that gives the owner the right to buy or sell an asset at a fixed price at any moment in time before or on a specified date is a(n):
Answer: C
Explanation:
An American option is a contractual arrangement that gives the owner the right to buy or sell an asset at a fixed price at any moment in time before or on a specified date.
NEW QUESTION # 49
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