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Exam IIA-CIA-Part3 topic 2 question 216 discussion

Actual exam question from IIA's IIA-CIA-Part3
Question #: 216
Topic #: 2
[All IIA-CIA-Part3 Questions]

While performing an audit of a car tire manufacturing plant, an internal auditor noticed a significant decrease in the number of tires produced from the previous operating period. To determine whether worker inefficiency caused the decrease, what additional information should the auditor request?

  • A. Total tire production labor hours for the operating period
  • B. Total tire production costs for the operating period
  • C. Plant production employee headcount average for the operating period
  • D. Tire production machinery utilization rates
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Suggested Answer: A 🗳️
by KonradK at Jan. 24, 2024, 6:58 a.m.

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emtofid
1 month, 1 week ago
Selected Answer: A
Labor Productivity = Total Output / Total Labor Hours By comparing total tire production to total labor hours, the auditor can assess whether productivity per hour has declined, indicating inefficiency.
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KonradK
1 year, 1 month ago
C is the right answer!
upvoted 1 times
Elvin
1 year ago
why C?
upvoted 1 times
KonradK
1 year ago
Effectiveness is about completion and efficiency is about resources so headcount of employees would say a lot about whether tasks were completed efficiently concerning the least amount of resources
upvoted 1 times
KLynn
5 months, 1 week ago
C states “average” headcount, which is not relevant when evaluating efficiency
upvoted 1 times
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