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IIA-CIA-Part3-3P IIA CIA Exam Part Three: Business Knowledge for Internal Auditing Free Practice Exam Questions (2025 Updated)

Prepare effectively for your IIA IIA-CIA-Part3-3P CIA Exam Part Three: Business Knowledge for Internal Auditing certification with our extensive collection of free, high-quality practice questions. Each question is designed to mirror the actual exam format and objectives, complete with comprehensive answers and detailed explanations. Our materials are regularly updated for 2025, ensuring you have the most current resources to build confidence and succeed on your first attempt.

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Total 488 questions

An organization had three large centralized divisions: one that received customer orders for service work; one that scheduled the service work at customer locations; and one that answered customer calls about service

problems. These three divisions were restructured into seven regional groups, each of which performed all three functions. One advantage of this restructuring would be:

A.

Better internal controls.

B.

Greater economies of scale.

C.

Improved work flow.

D.

Increased specialization.

An organization's balance sheet indicates that the total asset amount and the total capital stock amount remained unchanged from one year to the next, and no dividends were declared or paid. However, the organization reported a loss of $200,000. Which of the following describes the most likely year-over-year change to the organization's total liabilities and total stockholder equity?

A.

The total liabilities and total stockholder equity both increased.

B.

The total liabilities and total stockholder equity both decreased.

C.

The total liabilities decreased, and the total stockholder equity increased.

D.

The total liabilities increased, and the total stockholder equity decreased.

An organization is considering the outsourcing of its business processes related to payroll and information technology functions. Which of the following is the most significant area of concern for management regarding this proposed agreement?

A.

Ensuring that payments to the vendor are appropriate and timely for the services delivered.

B.

Ensuring that the vendor has complete management control of the outsourced process.

C.

Ensuring that there are means of monitoring the efficiency of the outsourced process.

D.

Ensuring that there are means of monitoring the effectiveness of the outsourced process.

The process of scenario planning begins with which of the following steps?

A.

Determining the trends that will influence key factors in the organization's environment.

B.

Selecting the issue or decision that will impact how the organization conducts future business.

C.

Selecting leading indicators to alert the organization of future developments.

D.

Identifying how customers, suppliers, competitors, employees, and other stakeholders will react.

Which of the following distinguishes the added-value negotiation method from traditional negotiating methods?

A.

Each party's negotiator presents a menu of options to the other party.

B.

Each party adopts one initial position from which to start.

C.

Each negotiator minimizes the information provided to the other party.

D.

Each negotiator starts with an offer, which is optimal from the negotiator's perspective.

When granting third parties temporary access to an entity's computer systems, which of the following is the most effective control?

A.

Access is approved by the supervising manager.

B.

User accounts specify expiration dates and are based on services provided.

C.

Administrator access is provided for a limited period.

D.

User accounts are deleted when the work is completed.

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Total 488 questions
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