Free IIA-CIA-Part3 Exam Dumps

Question 26

- (Exam Topic 1)
Which of the following control techniques would minimize the risk of interception during transmission in an electronic data interchange system?
* 1. Encryption.
* 2. Traffic padding.
* 3. Edit checks.
* 4. Structured data format.

A. 1 and 2 only
B. 2 and 3 only
C. 3 and 4 only
D. 1, 2, and 3 only

Correct Answer:A

Question 27

- (Exam Topic 1)
An organization facing rapid growth decides to employ a third party service provider to manage its customer relationship management function. Which of the following is true regarding the supporting application software used by that provider compared to an in-house developed system?
* 1. Updating documentation is always a priority.
* 2. System availability is usually more reliable.
* 3. Data security risks are lower.
* 4. Overall system costs are lower.

A. 1 and 2 only
B. 1 and 3 only
C. 2 and 4 only
D. 3 and 4 only

Correct Answer:C

Question 28

- (Exam Topic 1)
Which of the following statements is in accordance with COBIT?
* 1. Pervasive controls are general while detailed controls are specific.
* 2. Application controls are a subset of pervasive controls.
* 3. Implementation of software is a type of pervasive control.
* 4. Disaster recovery planning is a type of detailed control.

A. 1 and 4 only
B. 2 and 3 only
C. 2, 3, and 4 only
D. 1, 2, and 4 only

Correct Answer:A

Question 29

- (Exam Topic 1)
An organization is considering the outsourcing of its business processes related to payroll and information technology functions. Which of the following is the most significant area of concern for management regarding this proposed agreement?

A. Ensuring that payments to the vendor are appropriate and timely for the services delivered.
B. Ensuring that the vendor has complete management control of the outsourced process.
C. Ensuring that there are means of monitoring the efficiency of the outsourced process.
D. Ensuring that there are means of monitoring the effectiveness of the outsourced process.

Correct Answer:D

Question 30

- (Exam Topic 2)
Organization X owns a 38 percent equity stake in Organization Y. Which of the following statements is true regarding the financial treatment for this relationship?

A. Y should be listed as an investment asset on X's balance sheet
B. X must consolidate the financial statements for both organizations
C. Y should be reported as a footnote to X's financial statements
D. Y should not be reported by X as X does not have a controlling interest

Correct Answer:A