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IIA Business Knowledge for Internal Auditing Sample Questions (Q45-Q50):
NEW QUESTION # 45
Which of the following is false with respect to client-server networks?
- A. A client-server network can cope with only 12 or fewer clients at a time.
- B. In a client-server network, many applications reside on the client computer.
- C. A client-server network divides processing of an application between a client machine on a network and a server.
- D. The server customarily manages peripheral hardware and control.; a,::,:,,-. .;hared databases.
Answer: A
Explanation:
A client-server network can cope with thousands of clients at a time. They can access the server over the Internet from any where at any time with no time-related charges.
NEW QUESTION # 46
A bank has two drive-in lanes to serve customers:
The process of making sure that the model measures what it is supposed to measure is called:
- A. Confidence coefficient analysis.
- B. Validation.
- C. Statistical inference.
- D. Hypothesis testing.
Answer: B
Explanation:
Validation is a step in the simulation procedure. Some assurance is needed that the results of the experiment will be realistic. This assurance requires validation of the model --often using historical data. If the model gives results equivalent to what actually happened, the model is historically valid. There is still some risk, however, that changes could make the model invalid for the future.
NEW QUESTION # 47
An internal auditor was asked to review an equal equity partnership In one sampled transaction Partner A transferred equipment into the partnership with a self-declared value of $10,000 and Partner B contributed equipment with a self-declared value of $15 000 The capital accounts of each partner were subsequently credited with S12,500. Which of the following statements is true regarding this transaction?
- A. The capital accounts of the partners should be increased by the original cost of the contnbuted equipment.
- B. The capital accounts should be increased using a weighted average based on the current percentage of ownership
- C. The capital accounts of the partners should be increased by the fair market value of their contribution
- D. No action is needed as the capital account of each partner was increased by the correct amount
Answer: D
NEW QUESTION # 48
Under the "output" approach, gross domestic product GDP) is measured as:
- A. Non-income charges or allocations + wages + rents + interest + profits.
- B. Consumption expenditures + investment + government purchases + interest
- C. Consumption expenditures + investment + government purchases + expenditures by foreigners.
- D. Non-income charges or allocations + wages + rents + interest.
Answer: C
Explanation:
GDP is the total value of all goods and services produced in the U.S., regardless of the ownership of the means of production. GDP can be measured using an income or output expenditures) approach. The output approach measures the amount spent to purchase the year's total output. Using this approach, GDP is calculated by adding consumption expenditures by households, investment expenditures by businesses, government purchases of goods and services, and expenditures by foreigners.
NEW QUESTION # 49
Which of the following types of data analytics would be used by a hospital to determine which patients are likely to require readmittance for additional treatment?
- A. Diagnostic analytics
- B. Prescriptive analytics
- C. Predictive analytics
- D. Descriptive analytics
Answer: C
NEW QUESTION # 50
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