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IIA-CIA-Part3 exam is designed to test the candidate's knowledge of business concepts and their application to the internal audit process. IIA-CIA-Part3 exam covers various topics such as business acumen, financial management, risk management, and strategic planning. IIA-CIA-Part3 Exam is computer-based and consists of 100 multiple-choice questions, which must be completed within 2.5 hours.

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IIA-CIA-Part3 exam is a computer-based test that consists of 100 multiple-choice questions. Candidates have 2.5 hours to complete the exam, and they must score at least 600 out of 800 to pass. IIA-CIA-Part3 Exam is offered at Pearson VUE testing centers around the world and can be taken in English, Spanish, Portuguese, or Chinese.

IIA Business Knowledge for Internal Auditing Sample Questions (Q27-Q32):

NEW QUESTION # 27
Refer to the exhibit.

A company's financial balance sheet is presented below:
The company has net working capital of:

A. $160
B. $210
C. $350
D. $490

Answer: B

NEW QUESTION # 28
Which of the following local area network physical layouts is subject to the greatest risk of failure if one device fails?

A. Mesh network.
B. Bus network.
C. Token ring network.
D. Star network.

Answer: C

NEW QUESTION # 29
An entity introduced a new product that carries a 2-year warranty against defects. It estimates that warranty costs will be 27, of sales in the year of sale and 3% of sales in the year following the year of sale. Sales in Year 1 and US $5 million and US $7 million, respectively, Actual costs of servicing the warranty in Year 1 and Year 2 were US $110,000 and US $260.000, respectively. What provision for warranty costs must the entity Year 2?

A. US $350.000
B. US $370.000
C. US $260.000
D. US $290.000

Answer: A

Explanation:
The warranty provision must be matched with revenue in the year of sale. Thus, the provision related to Year 2 sales must be recognized in Year 2 even if actual expenditures will not occur until Year 3_ The provision related to Year 2 sales equals US $350,000 [$7,000,0002% for the year of sale -- 3% for the year after the year of sale)].

NEW QUESTION # 30
If an entity employs the sum-of-the-years'-digits SYD method of depreciation for an asset with an estimated useful life of 4 years, the percentage of the total depreciable cost that will be expensed in the third year is:

A. 25%
B. 20%
C. 10%
D. 70%

Answer: B

Explanation:
Under the SYD method, the amount of the depreciable cost that is expensed each year is the remaining useful life at the beginning of that year divided by the sum of the years of useful life. For the third year, the portion expensed is 20% [2 .1 + 2 + 3 + 4)].

NEW QUESTION # 31
A firm must decide the mix of production of Product X and Product Y. There are only two resources used in the two products, resources A and B. Data related to the two products is given in the following table:

What is the appropriate objective function to maximize profit?

A. 2X+Y
B. 3X + 7Y
C. 8X + 6Y
D. 5X + 8Y

Answer: C

Explanation:
The objective function is the function to be optimized. This firm wishes to maximize profits on the sales of two products X and Y). Based on profits per unit US $8 and US $6, respectively), the objective function is 8X + 6Y.

NEW QUESTION # 32
......

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Pass Guaranteed 2025 IIA-CIA-Part3: Business Knowledge for Internal Auditing Updated Valid Dumps Pdf

2025 IIA-CIA-Part3: Authoritative Valid Dumps Business Knowledge for Internal Auditing Pdf

IIA Business Knowledge for Internal Auditing Sample Questions (Q27-Q32):