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IIA CIA Part 3 Prerequisites - Bachelor's degree from an accredited college or university or a non-U.S. equivalent, at least five years of professional experience in internal auditing, and have attained the age of 21. Or have a combination of education and/or professional experience that provides for the same level of knowledge.
IIA CIA Experience Requirements - At least two years of professional experience in internal auditing, governance, risk management, control, or related experience in one or more areas examined by the CIA exam.
NEW QUESTION # 749
What kind of strategy would be most effective for an organization to adopt in order to implement a unique advertising campaign for selling identical product lines across all of its markets?
Answer: C
NEW QUESTION # 750
What are the possible characteristics of a client-server configuration in a current ERP system?
I. Thin clients, local area network, single server
II. Fat clients, wide area network, multiple servers
III.
Fat clients, connection via Internet, and single server
Answer: C
Explanation:
Current ERP systems have a client-server configuration with possibly scores or hundreds of client user) computers. Clients may be thin or fat. So-called thin clients have little processing ability, but fat clients may have substantial processing power. The system may have multiple servers to run applications and contain databases. The network architecture may be in the form of a local area network LAN) or wide area network WAN), or users may connect with the sewer(s) via the Internet. An EPP system may use almost any of the available operating systems and database management systems.
NEW QUESTION # 751
The market value of an entity's outstanding ordinary shares will be higher, everything else equal, if investors:
Answer: D
Explanation:
The dividend growth model is used to calculate the cost of equity. The simplified formula is R is
The required rate of return, D is the next dividend, P is the share's price, and G is the growth rate in earnings per share. The equation is also used to determine the share price.
Thus, when investors have a lower required return on equity, the denominator is smaller, which translates into a higher market value.
NEW QUESTION # 752
Which of the following principles are common to both hierarchical and open organizational structures?
* Employees at all levels should be empowered to make decisions.
* A supervisor ' s span of control should not exceed seven subordinates.
* Responsibility should be accompanied by adequate authority.
* A superior cannot delegate the ultimate responsibility for results.
Answer: C
Explanation:
Both hierarchical and open organizational structures require responsibility to be supported by adequate authority. Assigning responsibility without authority creates accountability failure and control weakness. Both structures also recognize that a superior may delegate tasks or authority but cannot delegate ultimate responsibility for results. Statement 1 is more characteristic of open or decentralized structures, not all hierarchical structures. Statement 2 is an outdated and rigid span-of-control rule; appropriate span depends on complexity, employee competence, technology, geography, and control needs. Internal audit should evaluate whether organizational design supports clear accountability, authority, escalation, segregation of duties, and effective oversight. The principles common to both structures are statements 3 and 4. Therefore, Option D is correct.
NEW QUESTION # 753
An automobile company that uses the futures market to set the price of steel to protect a profit against price increases is an example of:
Answer: C
Explanation:
A change in prices can be minimized or avoided by hedging. Hedging is the process of using offsetting commitments to minimize or avoid the impact of adverse price movements. The automobile company desires to stabilize the price of steel so that its cost to the company will not rise and cut into profits. Accordingly, the automobile company uses the futures market to create a long hedge, which is a futures contract that is purchased to protect against price increases.
NEW QUESTION # 754
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