IIA-CIA-PART3 Online Practice Questions and Answers

When firms compete in different geographical locations or have multiple product lines that do not necessarily overlap, the most effective way of responding to an aggressive move by a competitor without directly triggering destructive moves and countermoves is to

A. Mislead the competitor into taking or not taking an action.

B. Make a prior announcement of intended moves.

C. Initiate a move in the market where the competitor is strong.

D. Initiate direct aggressive moves

Faced with 3 years of steadily decreasing profits despite increased sales and a growing economy, which of the following is the healthiest course of action for a chief executive officer to take?

A. Set a turnaround goal of significantly increasing profits within 2 months.

B. Reduce staff by 10% in every unit.

C. Reduce staff in the nonvalue-adding functions by 20%.

D. Encourage innovation at all levels and use an early retirement program to reduce staff size.

The key ingredient to group effectiveness is:

A. Challenge.

B. Trust.

C. Norms.

D. Roles.

According to thebehavioral theory of management:

A. Employees are motivated to fulfill needs.

B. Morale problems are not goal related.

C. Compensation is a universal motivator.

D. Productivity is not correlated with job satisfaction.

Some behavioral models stress employee participation as a key to motivation. A limitation of the participative approach is:

A. Workers are intrinsically lazy and must be driven.

B. A number of dissatisfiers must be present in order for the approach to work.

C. It is difficult to elicit the participation of all employees.

D. Unresolvable conflicts arise when a mature, capable, creative person joins a structured, demanding, and limiting organization.

Which of the following is an element of effective negotiating?

A. Ensuring that the other party has a personal stake in the agreement.

B. Focusing on interests rather than on obtaining a winning position.

C. Considering a few select choices during the settlement phase.

D. Basing the agreement on negotiating power and positioning leverage.

Which of the following statements regarding program change management is not correct?

A. The goal of the change management process is to sustain and improve organizational operations.

B. The degree of risk associated with a proposed change determines if the change request requires authorization.

C. In order to protect the production environment, changes must be managed in a repeatable, defined, and predictable manner.

D. All changes should be tested in a non-production environment before migrating to the production environment.

An internal auditor discovered that several unauthorized modifications were made to the production

version of an organization's accounting application.

Which of the following best describes this deficiency?

A. Production controls weakness.

B. Application controls weakness.

C. Authorization controls weakness.

D. Change controls weakness.

For employees, the primary value of implementing job enrichment is which of the following?

A. Validation of the achievement of their goals and objectives.

B. Increased knowledge through the performance of additional tasks.

C. Support for personal growth and a meaningful work experience.

D. An increased opportunity to manage better the work done by their subordinates.

Which of the following performance measures includes both profits and investment base?

A. Residual income.

B. A flexible budget.

C. Variance analysis.

D. A contribution margin income statement by segment.