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The IIA-CIA-Part3 (Business Knowledge for Internal Auditing) Certification Exam is a globally recognized certification program designed for internal auditors who want to enhance their knowledge of business operations and gain a deeper understanding of the internal audit process. The exam covers a range of topics, including financial management, strategic planning, risk management, and corporate governance. It is an essential certification for professionals who wish to advance their careers in internal auditing.

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Introduction of IIA CIA Part 3 Exam

The Certified Internal Auditor (CIA) is an advanced professional certification for internal auditors. It is a globally recognized certification and is based on the International Professional Practices Framework (IPPF) of the IIA. The CIA exam consists of three parts. Part 1 covers the foundations of internal auditing, Part 2 covers business knowledge for internal auditing, and Part 3 covers internal audit practices. This article discusses the topic matter covered in Part 3 of the CIA exam. It also provides a sample question and answer to help candidates better prepare for this exam. The IIA CIA part 3 exam dumps are also one of the most complete study guides available. You will learn all the required topics and get a full understanding of them.

IIA Business Knowledge for Internal Auditing Sample Questions (Q65-Q70):

NEW QUESTION # 65
Based upon the data derived from the regression analysis, 420 maintenance hours in a month would mean the maintenance costs (rounded to the nearest US dollar) would be budgeted at:

A. US$3,790
B. US$3,780
C. US$3,600
D. US$3,746

Answer: D

Explanation:
Substituting the given data into the regression equation results in a budgeted cost of US $3,746 (rounded to the nearest US dollar):

NEW QUESTION # 66
The expected time of the critical path is:

A. 11.0 days
B. 11.5 days
C. 13.0 days
D. 12.0 days

Answer: C

Explanation:
The critical path is the longest path. The longest path in the diagram is A-D-E, which requires 13 days (5.5 + 7.5) based on expected times.

NEW QUESTION # 67
The practice of maintaining a test program library separate from the production program library is an example of:

A. An input control.
B. Physical security.
C. An organizational control.
D. A concurrency control.

Answer: C

Explanation:
This separation is an organizational control. Organizational controls concern the proper segregation of duties and responsibilities within the information systems department.
Although proper segregation is desirable, functions that would be considered incompatible if performed by a single individual in a manual activity are often performed through the use of an information systems program or series of programs. Thus, compensating controls may be necessary, such as library controls, effective supervision, and rotation of personnel. Segregating test programs makes concealment of unauthorized changes in production programs more difficult.

NEW QUESTION # 68
The internal audit activity has undertaken an audit of the shipping and receiving department of a department store chain. The best engagement tool for this purpose most likely is:

A. Internal benchmarking.
B. Process benchmarking.
C. Strategic benchmarking.
D. Competitive benchmarking.

Answer: B

Explanation:
Process function) benchmarking studies operations of organizations with similar processes regardless of industry. Thus, the benchmark need not be a competitor Or even a similar entity}. This method may introduce new ideas that provide a significant competitive advantage. The advantage of process benchmarking is that it permits a wider choice of benchmarked organizations. Thus, the best practices for a shipping and receiving function may not be found in the same industry}.

NEW QUESTION # 69
The price that one division of a company charges another division for goods or services provided is called the:

A. Outlay price
B. Market price
C. Transfer price.
D. Distress price.

Answer: C

Explanation:
A transfer price is the price charged by one segment of an organization for a product or
service supplied to another segment of the same organization.

NEW QUESTION # 70
......

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