IIA Updated IIA-CIA-Part3 Exam Questions and Answers by osian

Remote wipe is not always 100% effective: While remote wiping can delete most user data, some residual data may remain on the device, especially in cases where:

The device has built-in storage redundancies.

Deleted data can be recovered using forensic tools.

The remote wipe command fails to execute properly due to network issues or device settings.

Security Risk: This limitation poses a risk for organizations handling sensitive or confidential data, as unauthorized individuals may recover wiped data.

IIA Standard 2110 - Governance: Internal auditors must assess how organizations manage IT security risks, including risks related to mobile devices and data protection.

IIA Practice Guide: Auditing Cybersecurity Risks highlights the need to evaluate mobile security controls and limitations of data removal techniques.

A. Encrypted data cannot be locked to prevent further access (Incorrect)

Encrypted data remains secure even if the device is lost.

Many enterprise security solutions allow organizations to revoke encryption keys remotely, making data inaccessible.

IIA Standard 2120 - Risk Management advises that effective encryption reduces the impact of data loss.

B. Default settings cannot be restored on the device. (Incorrect)

Most remote wipe solutions allow factory reset, restoring the device to default settings.

Many mobile device management (MDM) tools support full device restoration.

D. Mobile device management software is required for a successful remote wipe. (Incorrect)

While MDM enhances remote wiping capabilities, it is not strictly required.

Some consumer and enterprise mobile operating systems (e.g., iOS, Android) provide built-in remote wipe functionality without MDM.

Explanation of Answer Choice C (Correct Answer):Explanation of Incorrect Answers:Conclusion:Remote wipe has limitations, and the inability to completely remove all data from the device (Option C) is a primary concern.

IIA References:

IIA Standard 2110 - Governance

IIA Standard 2120 - Risk Management

IIA Practice Guide: Auditing Cybersecurity Risks

Managerial accounting differs from financial accounting in that it focuses on internal decision-making, cost control, and performance evaluation based on predetermined standards. Unlike financial accounting, which follows GAAP (Generally Accepted Accounting Principles) for external reporting, managerial accounting sets internal benchmarks to guide operational efficiency and strategic planning.

Use of Predetermined Standards:

Managerial accounting often uses standard costing, budgets, and variance analysis to compare actual performance against pre-set benchmarks.

This helps management make data-driven decisions and improve efficiency.

Internal Decision-Making:

Managerial accounting reports are used by internal stakeholders (e.g., managers, executives) rather than external entities.

Control and Performance Measurement:

It focuses on variance analysis (actual vs. expected performance) to highlight areas requiring corrective action.

Not Governed by GAAP:

Unlike financial accounting, managerial accounting does not require compliance with GAAP or IFRS since it is meant for internal use only.

A. Managerial accounting uses double-entry accounting and cost data:

While cost data is relevant to managerial accounting, double-entry accounting is a fundamental principle of all accounting systems, including financial accounting.

B. Managerial accounting uses generally accepted accounting principles (GAAP):

GAAP is required for financial accounting (external reporting), but managerial accounting does not follow GAAP since it focuses on internal decision-making.

C. Managerial accounting involves decision making based on quantifiable economic events:

While managerial accounting analyzes economic data, its distinguishing feature is using predetermined standards to evaluate and improve performance, which makes Option D the best choice.

IIA Standard 2110 - Governance: Internal auditors should assess decision-making processes, including managerial accounting techniques.

IIA Standard 2120 - Risk Management: Cost control and budget variance analysis are key components of risk management.

COSO Framework - Performance Monitoring: Emphasizes variance analysis, which aligns with predetermined standards in managerial accounting.

Key Reasons Why Option D is Correct:Why Other Options Are Incorrect:IIA References:Thus, the correct answer is D. Managerial accounting involves decision making based on predetermined standards.

A business continuity and disaster recovery plan does not prevent natural disasters, predict when they will occur, or eliminate the threat. Its value is that it reduces the likelihood that such events will severely disrupt operating activities by preparing recovery strategies, alternate procedures, communication protocols, backup arrangements, and restoration priorities. Natural disasters may still occur, but an effective plan helps the organization continue critical services or recover them within acceptable timeframes. Option A is too absolute because economic impact may still occur. Option B is incorrect because continuity planning does not forecast disasters. Option D is also incorrect because threats cannot be eliminated. Internal audit should assess whether continuity and recovery plans align with business impact analysis, recovery time objectives, and recovery point objectives. Therefore, Option C is correct.