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Trustworthy IIA-CIA-Part3 Practice, Latest IIA-CIA-Part3 Exam Objectives

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Passing the IIA-CIA-Part3 exam demonstrates that an individual has a comprehensive understanding of business concepts and their application to internal auditing. It also demonstrates a commitment to professional development and a desire to enhance one's skills and knowledge. Business Knowledge for Internal Auditing certification opens up new career opportunities and increases earning potential. Overall, the IIA-CIA-Part3 certification is a valuable asset for internal auditors looking to advance their careers in the business world.

IIA-CIA-Part3 exam is a challenging and rigorous certification exam that is designed to test the knowledge and skills of individuals who are interested in pursuing a career in internal auditing. Successful completion of IIA-CIA-Part3 Exam is a critical step in achieving the CIA designation, and is highly valued by employers around the world. With the right preparation and study, candidates can confidently approach IIA-CIA-Part3 exam and realize their professional goals.

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IIA Business Knowledge for Internal Auditing Sample Questions (Q164-Q169):

NEW QUESTION # 164
Which of the following statements is true regarding cost-volume-profit analysis?

A. Breakeven occurs when the contribution margin covers fixed costs.
B. Following breakover1, he operating income will increase by the excess of fixed costs less the variable costs per units sold.
C. Breakeven point is the amount of units sold to cover variable costs.
D. Contribution margin is the amount remaining from sales revenue after fixed expenses have been deducted.

Answer: A

Explanation:
Cost-Volume-Profit (CVP) analysis is used to determine how changes in costs and volume affect a company's operating profit.
* Correct Answer (C - Breakeven Occurs When the Contribution Margin Covers Fixed Costs)
* Contribution Margin (CM) = Sales Revenue - Variable Costs.
* The breakeven point is where total contribution margin equals total fixed costs, meaning the company has no profit or loss.
* The IIA's Practice Guide: Auditing Financial Performance supports this as the key breakeven definition.
* Why Other Options Are Incorrect:
* Option A (Contribution margin is the amount remaining after fixed expenses are deducted):
* Incorrect because CM is calculated before fixed expenses are subtracted.
* Option B (Breakeven point is the amount of units sold to cover variable costs):
* Incorrect because breakeven covers fixed costs as well, not just variable costs.
* Option D (Following breakeven, operating income increases by the excess of fixed costs less variable costs per unit sold):
* Incorrect because operating income increases by the contribution margin per unit, not by the difference between fixed and variable costs.
* IIA Practice Guide: Auditing Financial Performance - Defines breakeven analysis as when contribution margin covers fixed costs.
* IIA GTAG 13: Business Performance - Discusses cost-volume-profit analysis for financial decision- making.
IIA References for Validation:Thus, C is the correct answer because breakeven occurs when the contribution margin equals fixed costs.

NEW QUESTION # 165
Which of the following is the most appropriate test to assess the privacy risks associated with an organization's workstations?

A. Penetration test.
B. Physical control test.
C. Vulnerability test.
D. Social engineering test.

Answer: B

NEW QUESTION # 166
When would a contract be dosed out?

A. When there's a dispute between the contracting parties
B. When the termination clause is enacted.
C. When ail contractual obligations have been discharged.
D. When there is a force majenre.

Answer: C

NEW QUESTION # 167
Auditors making database queries often need to combine several tables to get the information they want. One approach to combining tables is known as:

A. Extraction.
B. Sorting.
C. Summarization.
D. Joining.

Answer: D

Explanation:
In data management terminology, joining is the combining of data files based on a common data element. For example, if rows in a table containing information about specified parts have been selected, the result can be joined with a table that contains information about suppliers. The join operation may combine the two tables using the supplier number assuming both tables contained this element) to provide information about the suppliers of particular parts.

NEW QUESTION # 168
If a bank's activities are categorized under such departments as community banking, institutional banking, and agricultural banking, what kind of departmentalization is being utilized?

A. Customer departmentalization.
B. Functional departmentalization.
C. Process departmentalization.
D. Product departmentalization.

Answer: A

NEW QUESTION # 169
......

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