100% PASS QUIZ 2025 IIA-CIA-PART3: MARVELOUS PRACTICE TEST BUSINESS KNOWLEDGE FOR INTERNAL AUDITING PDF

100% Pass Quiz 2025 IIA-CIA-Part3: Marvelous Practice Test Business Knowledge for Internal Auditing Pdf

100% Pass Quiz 2025 IIA-CIA-Part3: Marvelous Practice Test Business Knowledge for Internal Auditing Pdf

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IIA-CIA-Part3 (Business Knowledge for Internal Auditing) Certification Exam is an essential certification for internal auditors looking to advance their careers and demonstrate their knowledge and expertise in the field of internal auditing. With its globally recognized credential, this certification is a valuable asset for any internal auditor looking to stand out in a competitive job market.

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IIA-CIA-Part3 (Business Knowledge for Internal Auditing) certification exam is a globally recognized certification that demonstrates an individual's knowledge and expertise in the field of internal auditing. Business Knowledge for Internal Auditing certification is offered by the Institute of Internal Auditors (IIA), which is a professional association that provides education, certification, and guidance for internal auditors worldwide.

IIA Business Knowledge for Internal Auditing Sample Questions (Q256-Q261):

NEW QUESTION # 256
When initiating international ventures, an organization should consider cultural dimensions in order to prevent misunderstandings. Which of the following does not represent a recognized cultural dimension in a work environment?

  • A. Masculinity versus femininity.
  • B. Uncertainty avoidance.
  • C. Self control.
  • D. Power distance.

Answer: C


NEW QUESTION # 257
When the economic order quantity (EOQ) decision model is employed, the <List A> are being offset or balanced by the <List B>.

  • A. Option C
  • B. Option B
  • C. Option D
  • D. Option A

Answer: D

Explanation:
The objective of the EOQ model is to find an optimal order quantity that balances carrying and ordering costs. Only variable costs should be considered. The EOQ is the point where the ordering cost and carrying cost curves intersect. It corresponds to the minimum point on the total inventory cost curve.


NEW QUESTION # 258
An entity has accounts payable of US $5 million with terms of 2% discount within 15 days, net 30 days 2115 net 30 It can borrow funds from a bank at an annual rate of 12%, or it can wait until the 30th day when it will receive revenues to cover the payment If it borrows funds on the last day of the discount period in order to obtain the discount, its total cost will be:

  • A. US $100,000 less
  • B. US $51,000 less
  • C. US $24,500 more
  • D. US $75,500 less

Answer: D

Explanation:
The interest cost of borrowing US $4,900,000 $5,000,000 98%) to take advantage of the discount is US $24,500 [$4,900,000 x 12% 15 - 360)], and the total cost will be US $4,924,500. The total cost if the discount is not taken will be 5,000,000, a difference of US $75,500.


NEW QUESTION # 259
On January 1, an entity issued a 10-year US $500,000 bond at 96% of its face amount. The bond bears interest at 12%, payable on January 1 and July 1. The entry to record the issuance of the bond on January 1 is:

  • A. Option B
  • B. Option D
  • C. Option C
  • D. Option A

Answer: C

Explanation:
The entity received US $480,000 cash on the issuance of the bond. Its face amount is US $500,000, the amount to be paid at maturity. Hence, the credit to bonds payable is US $500,000. The US$20,000 difference is recorded as a discount on bonds payable a debit and is amortized over the life of the issue.


NEW QUESTION # 260
Quality cost indices are often used to measure and analyze the cost of maintaining a given level of quality. One example of a quality cost index, which uses a direct labor base, is computed as:

The following quality cost data were collected for May and June:

Based upon these cost data, the quality cost index

  • A. Was unchanged from May to June.
  • B. Increased 10 points from May to June.
  • C. Decreased four points from May to June.
  • D. Decreased 10 points from May to June.

Answer: C

Explanation:
The index for May was 40 [(US $4,000 + $6,000 + $12,000 + $14,000) - $90,000] and the index for June was 36 [(US $5,000 + $5,000 + $15,000 + $11.000) * $100,000].


NEW QUESTION # 261
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