Free IIA IIA-CIA-Part3 Practice Questions 2026 - Page 18

A small chain of grocery stores made a reporting error and understated its ending inventory. What effect would this have on the income statement for the following year?

A. Net income would be understated.

B. Net income would not be affected.

C. Net income would be overstated.

D. Net income would be negative.

At what stage of project integration management would a project manager and project management team typically coordinate the various technical and organizational interfaces that exist in the project?

A. Project plan development.

B. Project plan development.

C. Integrated change control.

D. Project quality planning

Which of the following should be established by management during implementation of big data systems to enable ongoing production monitoring?

A. Key performance indicators.

B. Reports of software customization

C. Change and patch management

D. Master data management

According to IIA guidance on IT, which of the following best describes a logical access control?

A. Require complex passwords to be established and changed quarterly

B. Require swipe cards to control entry into secure data centers.

C. Monitor access to the data center with closed circuit camera surveillance

D. Maintain current role definitions to ensure appropriate segregation of duties

A organization finalized a contract in which a vendor is expected to design, procure, and construct a power substation for $3,000,000. In this scenario, the organization agreed to which of the following types of contracts?

A. A cost-reimbursable contract

B. A lump-sum contract

C. A time and material contract

D. A bilateral contract

An internal auditor is assessing the risks related to an organization's mobile device policy. She notes that the organization allows third parties (vendors and visitors) to use outside smart devices to access its proprietary networks and systems. Which of the following types of smart device risks should the internal Auditor be most concerned about?

A. Compliance.

B. Privacy

C. Strategic

D. Physical security

An internal auditor discusses user-defined default passwords with the database administrator. Such passwords will be reset as soon as the user logs in for the first time, but the initial value of the password is set as "123456." Which of the following are the auditor and the database administrator most likely discussing in this situation?

A. Whether it would be more secure to replace numeric values with characters

B. What happens in the situations where users continue using the initial password.

C. What happens in the period between the creation of the account and the password change

D. Whether users should be trained on password management features and requirements

Which of the following concepts of managerial accounting is focused on achieving a point of low or no inventory?

A. Theory of constraints.

B. Just-in-time method

C. Activity-based costing

D. Break-even analysis

Which of the following is most influenced by a retained earnings policy?

A. Cash.

B. Dividends.

C. Gross margin.

D. Net income

Which of the following financial statements provides the best disclosure of how a company's money was used during a particular period?

A. Income statement.

B. Owner's equity statement

C. Balance sheet

D. Statement of cash flows