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IIA-CIA-PART4 Exam Questions & Answers

Exam Code: IIA-CIA-PART4

Exam Name: Certified Internal Auditor - Part 4, Business Management Skills

Updated: Nov 11, 2024

Q&As: 535

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Practice These Free Questions and Answers to Pass the Certified Internal Exam

Questions 1

When a multinational firm decides to sell its products abroad, one of the risks the firm faces is that the government of the foreign market charges the firm with dumping. Dumping occurs when

A. The same product sells at different prices in different countries.

B. A firm charges less than the cost to make the product so as to enter or win a market.

C. Lower quality versions of the product are sold abroad so as to be affordable.

D. Transfer prices are set artificially high so as to minimize tax payments.

Show Answer
Questions 2

In accordance with Michael E Porter's generic strategies model, a firm with a broad competitive scope that has high sales volume, low margins, and efficient supply and distribution channels will most likely choose a

A. Cost leadership strategy.

B. Cost focus strategy.

C. Differentiation strategy.

D. Focused differentiation strategy.

Show Answer
Questions 3

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.

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Questions 4

Which of the following is least appropriate with regard to management's approach to informal group or grapevine communication? Management should:

A. Use informal group information to supplement communication channels of the formal organization.

B. Try to suppress informal group information as a possible source of conflicting information.

C. Take advantage of informal group information as a device to correct misinformation.

D. Make use of informal group information as a means of transmitting information not appropriate for formal communication channels.

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Questions 5

In regard to effective negotiation, a win-win attitude is characterized by:

A. Seeking mutual benefit and satisfaction.

B. Cooperative.

C. It promotes support of, and commitment to, the agreement.

D. All of the answers are correct.

Show Answer

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