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NEW QUESTION # 27
The rate of gross profit on Year 2 installment sales is:

• A. 80%
• B. 20%
• C. 40%
• D. 50%

Answer: B

Explanation:
The rate of gross profit on Year 2 installment sales is 20% [(US $5,000 of Year 2 installment sales - $4,000 cost of Year 2 installment sale=,) - $5,000 of Year 2 installment sales].
An entity sells goods on an installment basis. The table below includes information about the level of installment sales, the cost of the goods sold on installment, and the cash receipts on installment sales for Year 1 through Year 3. All cash receipt amounts shown are net of any interest charges.

NEW QUESTION # 28
According to IIA guidance on IT, which of the following best describes a situation where data backup plans exist to ensure that critical data can be restored at some point in the future, but recovery and restore processes have not been defined?

• A. Warm recovery plan.
• B. Absence of recovery plan.
• C. Cold recovery plan.
• D. Hot recovery plan.

Answer: C

NEW QUESTION # 29
According to IIA guidance, which of the following corporate social responsibility (CSR) activities is appropriate for the internal audit activity to perform?

• A. Integrate CSR activities into the organization's decision-making process.
• B. Determine whether the organization has an appropriate policy governing its CSR activities.
• C. Align CSR program objectives with the organization's strategic plan.
• D. Determine the optimal amount of resources for the organization to invest in CSR.

Answer: B

NEW QUESTION # 30
Which of the following authentication controls combines what a user knows with the unique characteristics of the user respectively?

• A. Password and token
• B. Voice recognition and token.
• C. Password and fingerprint.
• D. Fingerprint and voice recognition

Answer: C

NEW QUESTION # 31
Object technology has become important in companies' strategic use of information systems because of its potential to:

• A. Permit quicker and more reliable development of systems.
• B. Streamline the traditional "waterfall" systems development methodology.
• C. Minimize data integrity violations in hierarchical databases.
• D. Maintain programs written in procedural languages.

Answer: A

Explanation:
An object-oriented approach is intended to produce reusable code. Because code segments can be reused in other programs, the time and cost of writing software should be reduced.

NEW QUESTION # {0}32
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