Free IIA IIA-CIA-Part3 Exam Questions

Become IIA Certified with updated IIA-CIA-Part3 exam questions and correct answers

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Total 628 Questions | Updated On: Jul 30, 2025

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Question 1

Which of the following are the most appropriate measures for evaluating the change in an organization's liquidity position?

A : mes interest earned, return on assets, and inventory turnover.

B : counts receivable turnover, inventory turnover in days, and the current ratio.

C : counts receivable turnover, return on assets, and the current ratio.

D : ventory turnover in days, the current ratio, and return on equity.

Answer: B

Question 2

An organization is planning to outsource its payroll function to an external service provider. The internal auditors advised management of the risks related to outsourcing and the typical controls that should be provided by the external service provider. Which of the following statements is true regarding the internal auditorsâ€™ advice?

A : Independence was compromised by recommending internal controls, as the internal auditors will be testing the same controls in the future.

B : Objectivity was compromised by intervening before the outsourcing procedures and controls were established.

C : The internal auditors should work directly with the external service provider to ensure basic controls are in place and working as intended.

D : The external service provider controls recommended by the internal auditors may be insufficient to protect the organization.

Answer: D

Question 3

Which of the following statements about slack time and milestones are true?

1. Slack time represents the amount of time a task may be delayed without delaying the entire project.

2. A milestone is a moment in time that marks the completion of the project's major deliverables.

3. Slack time allows the project manager to move resources from one task to another to ensure that the project is finished on time.

4. A milestone requires resource allocation and needs time to be completed.

A : 1 and 4 only

B : 2 and 3 only

C : 1, 2, and 3 only

D : 1, 2, 3, and 4

Answer: C

Question 4

Which of the following performance measures disincentivizes engaging in earnings management?

A : nking performance to profitability measures such as return on investment.

B : nking performance to the stock price.

C : nking performance to quotas such as units produced.

D : nking performance to nonfinancial measures such as customer satisfaction and employees training.

Answer: A

Question 5

During which phase of the contracting process are contracts drafted for a proposed business activity?

A : itiation phase.

B : dding phase.

C : velopment phase.

D : nagement phase.

Answer: A

Page: 1 / 126

Total 628 Questions | Updated On: Jul 30, 2025

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