Question 1

What is the primary purpose of data and systems backup?

Accepted Answer

The primary purpose of data and systems backup is to restore data and systems to a previous point in time after an incident, ensuring data integrity and continuity.

Question 2

Which of the following data security policies is most likely to be the result of a data privacy law?

Accepted Answer

Data privacy laws often require that access to personally identifiable information (PII) be restricted to only those individuals who need it for their job functions, to protect individuals' privacy rights.

Question 3

According to IIA guidance on IT, which of the following would be considered a primary control for a spreadsheet to help ensure accurate financial reporting?

Accepted Answer

Locking or protecting formulas and static data in a spreadsheet is a primary control to prevent unauthorized changes, ensuring the accuracy and integrity of financial reporting.

Question 4

An investor has acquired an organization that has a dominant position in a mature, slow-growth industry and consistently creates positive financial income. Which of the following terms would the investor most likely label this investment in her portfolio?

Accepted Answer

A cash cow is a business that has a dominant position in a mature, slow-growth industry and consistently creates positive financial income.

Question 5

An internal auditor observed that the organization's disaster recovery solution will make use of a cold site in a town several miles away. Which of the following is likely to be a characteristic of this disaster recovery solution?

Accepted Answer

The answer of An internal auditor observed that the organization's...

Question 6

Which of the following statements is most accurate concerning the management and audit of a web server?

Accepted Answer

Secure protocols like HTTPS should be used for confidential pages to ensure data encryption and protect against eavesdropping, unlike clear-text protocols like HTTP or FTP.

Question 7

According to IIA guidance, which of the following statements is true regarding analytical procedures?

Accepted Answer

The answer of According to IIA guidance, which of the...

Question 8

Which of the following statements is true regarding managerial accounts?

Accepted Answer

The answer of Which of the following statements is true...

Question 9

An organization requires an average of 58 days to convert raw materials into finished products to sell. An average of 42 additional days is required to collect receivables. If the organization takes an average of 10 days to pay for the raw materials, how long is its total cash conversion cycle?

Accepted Answer

The answer of An organization requires an average of 58...

Question 10

Which of the following risks is best addressed by encryption?

Accepted Answer

The answer of Which of the following risks is best...

Question 11

A large retail customer made an offer to buy 10,000 units at a special price of $7 per unit. The manufacturer usually sells each unit for $10. Variable manufacturing costs are $5 per unit and fixed manufacturing costs are $3 per unit. For the manufacturer to accept the offer, which of the following assumptions needs to be true?

Accepted Answer

The answer of A large retail customer made an offer...

Question 12

During her annual performance review, a sales manager admits that she experiences significant stress due to her job but stays with the organization because of the high bonuses she earns. Which of the following best describes her primary motivation to remain in the job?

Accepted Answer

The sales manager's primary motivation to remain in the job is the high bonuses she earns, which are an extrinsic reward, as they are external incentives provided by the organization.

Question 13

What kind of strategy would be most effective for an organization to adopt in order to implement a unique advertising campaign for selling identical product lines across all of its markets?

Accepted Answer

The answer of What kind of strategy would be most...

Question 14

Which of the following responsibilities would ordinarily fall under the help desk function of an organization?

Accepted Answer

The help desk function typically handles user support and maintenance service items like production support, rather than infrastructure management, hosting, or security architecture design.

Question 15

An organization with global headquarters in the United States has subsidiaries in eight other nations. If the organization operates with an ethnocentric attitude, which of the following statements is true?

Accepted Answer

The answer of An organization with global headquarters in the...

Question 16

Which of the following is an example of an application control?

Accepted Answer

Application controls are specific to individual applications and ensure the integrity of data and transactions. Formatted data fields ensure that data entered into an application is in the correct format, thus maintaining data integrity.

Question 17

A retail organization mistakenly did not include $10,000 of inventory in the physical count at the end of the year. What was the impact to the organization's financial statements?

Accepted Answer

The missing inventory will result in an understatement of ending inventory, which will lead to an overstatement of cost of sales and an understatement of net income.

Question 18

According to IIA guidance on IT, which of the following plans would pair the identification of critical business processes with recovery time objectives?

Accepted Answer

The business impact analysis plan is designed to identify critical business processes and determine recovery time objectives to ensure continuity in case of disruptions.

Question 19

What is the primary purpose of an integrity control?

Accepted Answer

Integrity controls are primarily designed to ensure that data remains consistent, accurate, and intact throughout its lifecycle, preventing unauthorized alterations.

Question 20

With regard to disaster recovery planning, which of the following would most likely involve stakeholders from several departments?

Accepted Answer

The answer of With regard to disaster recovery planning, which...

Exam 5: Business Analysis and Information Technology