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Home IIA IIA-CIA-Part3

IIA IIA-CIA-Part3 Exam Practice Questions (P. 5)

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Question #41
Which of the following statements is true regarding the use of public key encryption to secure data while it is being transmitted across a network?
  1. A
    Both the key used to encrypt the data and the key used to decrypt the data are made public.
  2. B
    The key used to encrypt the data is kept private but the key used to decrypt the data is made public.
  3. C
    The key used to encrypt the data is made public but the key used to decrypt the data is kept private.
  4. D
    Both the key used to encrypt the data and the key used to decrypt the data are made private.

Correct Answer:
C

Question #42
The market price is the most appropriate transfer price to be charged by one department to another in the same organization for a service provided when:
  1. A
    There is an external market for that service.
  2. B
    The selling department operates at 50 percent of its capacity.
  3. C
    The purchasing department has more negotiating power than the selling department.
  4. D
    There is no external market for that service.

Correct Answer:
A

Question #43
Which of the following is a type of network in which an organization permits specific users (such as existing customers) to have access to its internal network through the Internet by building a virtual private network?
  1. A
    Intranet.
  2. B
    Extranet.
  3. C
    Digital subscriber line.
  4. D
    Broadband.

Correct Answer:
B

Question #44
During the last year, an organization had an opening inventory of $300,000, purchases of $980,000, sales of $1,850,000, and a gross margin of 40 percent. What is the closing inventory if the periodic inventory system is used?
  1. A
    $170,000
  2. B
    $280,000
  3. C
    $300,000
  4. D
    $540,000

Correct Answer:
A

Question #45
Which of the following describes the free trade zone in an e-commerce environment?
  1. A
    Zone that separates an organization's servers from outside forces.
  2. B
    Area in which messages are scrutinized to determine if they are authorized.
  3. C
    Area where communication and transactions occur between trusted parties.
  4. D
    Zone where data is encrypted, users are authenticated, and user traffic is filtered.

Correct Answer:
C

Question #46
An organization produces two products, X and Y. The materials used for the production of both products are limited to 500 kilograms (kg) per month. All other resources are unlimited and their costs are fixed. Individual product details are as follows:

Product X -

Product Y -

Selling price per unit -
$10
$13
Materials per unit (at $1/kg)
2 kg
6 kg

Monthly demand -
100 units
120 units
In order to maximize profit, how much of product Y should the organization produce each month?
  1. A
    50 units.
  2. B
    60 units.
  3. C
    100 units.
  4. D
    120 units.

Correct Answer:
A

Question #47
Which of the following is useful for forecasting the required level of inventory?
1. Statistical modeling.
2. Information about seasonal variations in demand.
3. Knowledge of the behavior of different business cycles.
4. Pricing models linked to seasonal demand.
  1. A
    1 and 2 only
  2. B
    2 and 3 only
  3. C
    1, 2, and 3 only
  4. D
    1, 2, 3, and 4

Correct Answer:
C

Question #48
Which of the following standards would be most useful in evaluating the performance of a customer-service group?
  1. A
    The average time per customer inquiry should be kept to a minimum.
  2. B
    Customer complaints should be processed promptly.
  3. C
    Employees should maintain a positive attitude when dealing with customers.
  4. D
    All customer inquiries should be answered within seven days of receipt.

Correct Answer:
D

Question #49
A small furniture-manufacturing firm with 100 employees is located in a two-story building and does not plan to expand. The furniture manufactured is not special- ordered or custom-made. The most likely structure for this organization would be:
  1. A
    Functional departmentalization.
  2. B
    Product departmentalization.
  3. C
    Matrix organization.
  4. D
    Divisional organization.

Correct Answer:
A

Question #50
When writing a business memorandum, the writer should choose a writing style that achieves all of the following except:
  1. A
    Draws positive attention to the writing style.
  2. B
    Treats all receivers with respect.
  3. C
    Suits the method of presentation and delivery.
  4. D
    Develops ideas without overstatement.

Correct Answer:
A

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