Certified Internal Auditor (CIA) Part 1: Business Acumen — Question 20
Auditors 1, 2, and 3 work out of various offices. Each must be assigned to one, and only one, of three audit locations (A, B, or C). The cost of sending each auditor to each location is listed below:
Audit Locations -
Auditor 1 -
A -
B -
C -
Auditor 2 -
$200
$300
$400
Auditor 3 -
$400
$300
$600
Auditor 4 -
$200
$200
$500
The minimum cost with which this assignment can be accomplished is:
Answer options
- A. $800
- B. $900
- C. $1, 000
- D. $1, 100
Correct answer: B
Explanation
The correct answer is $900, which represents the minimum total cost achievable by optimally assigning the auditors to locations based on the provided costs. The other options are either overestimates of the total expense that can be minimized through better allocation.