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  1. Home
  2. IIA Certification
  3. IIA-CIA-Part3 Exam
  4. IIA.IIA-CIA-Part3.v2025-01-02.q249 Dumps
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Question 11

When using cost-volume-profit analysts which of the following will increase operating income once the break-even point has been reached?

Correct Answer: A
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Question 12

Which of the following best describes the primary objective of cybersecurity?

Correct Answer: B
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Question 13

In a critical path analysis, if slack time in an activity exists, the activity:

Correct Answer: C
Slack is the free time associated with activities not on the critical path. Slack represents unused resources that can be diverted to the critical path.
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Question 14

If the average age of inventory is 60 days, the average age of the accounts payable is 30 days, and the average age of accounts receivable is 45 days, the number of days in the cash flow cycle is:

Correct Answer: C
The cash flow cycle begins when the entity pays for merchandise it has purchased and ends when the entity receives cash from the sale of the merchandise. Inventory is held for an average of 60 days prior to sale, but the average age of accounts payable is 30 days.
Consequently, the average time between outlay and sale is 30 days. Receivables are collected an average of 45 days after sale, so the length of the cash flow cycle is 75 days (30 + 45).
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Question 15

A conglomerate entity acquired 100% of the net assets of a target entity for US $900 cash. The target entity is balance sheet just prior to the acquisition is presented below.
The amount of goodwill to be recorded by the conglomerate entity related to its purchase of the target entity is:

Correct Answer: C
Goodwill is the excess of the cost over the net fair value of the acquired identifiable assets, liabilities, and contingent liabilities recognized. This net fair value equals the sum of cash, receivables, inventory, and PPE minus liabilities. Hence, the net fair value acquired is US $700 and goodwill is US $200$900 cost-$700).
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