IIA IIA-ACCA Exam
ACCA CIA Challenge Exam (Page 51 )

Updated On: 30-Jan-2026

An organization is projecting sales of 100,000 units, at a unit price of $12. Unit variable costs are $7. If fixed costs are $350,000, what is the projected total contribution margin?

  1. $350,000
  2. $500,000
  3. $850,000
  4. $1,200,000

Answer(s): B



Which of the following does not provide operational assurance that a computer system is operating properly?

  1. Performing a system audit.
  2. Making system changes.
  3. Testing policy compliance.
  4. Conducting system monitoring.

Answer(s): B



Which of the following is useful for forecasting the required level of inventory?

1. Statistical modeling.
2. Information about seasonal variations in demand.
3. Knowledge of the behavior of different business cycles.
4. Pricing models linked to seasonal demand.

  1. 1 and 2 only
  2. 2 and 3 only
  3. 1, 2, and 3 only
  4. 1, 2, 3, and 4

Answer(s): C



A small furniture-manufacturing firm with 100 employees is located in a two-story building and does not plan to expand. The furniture manufactured is not special-ordered or custom-made. The most likely structure for this organization would be:

  1. Functional departmentalization.
  2. Product departmentalization.
  3. Matrix organization.
  4. Divisional organization.

Answer(s): A



In mergers and acquisitions, which of the following is an example of a horizontal combination?

  1. Dairy manufacturing company taking over a large dairy farm.
  2. A movie producer acquires movie theaters.
  3. A petroleum processing company acquires an agro-processing firm.
  4. A baker taking over a competitor.

Answer(s): D



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