IIA Certified Government Auditing Professional IIA-CGAP Questions & Answers

• Question 321:

  The purpose of the _________ is to organize the full range of internal audit guidance in a manner that is readily accessible on a timely basis. By encompassing current internal audit practice as well as allowing for future expansion, the _________ is intended to assist practitioners throughout the world in being responsive to the expanding market for high quality internal audit services.

  A. IIA, PPF

  B. PPF, IIA

  C. PPF, PPF

  D. IIA, IIA

  Correct Answer: C

• Question 322:

  ____________ is an independent, objective assurance and consulting activity designed to add value and improve organizations operations. It helps an organization accomplish its objectives by bringing a systematic, disciplined approach to evaluate and improve the effectiveness of risk management, control, and governance processes.

  A. Internal auditing

  B. External auditing

  C. Compliance audit

  D. None

  Correct Answer: A

• Question 323:

  The purpose of __________ is to promote an ethical culture in the profession of internal auditing. A ___________ is necessary and appropriate for the profession of internal auditing, founded as it is on the trust placed in its objective assurance about risk management, control, and governance:

  A. Code of ethics, The IIA's Code of Ethics

  B. The IIA's Code of Ethics, Code of ethics

  C. Code of ethics, PPF Code of Ethics

  D. PPF Code of Ethics, Code of ethics

  Correct Answer: B

• Question 324:

  The audit function within government provides all of the following benefits EXCEPT:

  A. Prompt implementation of audit recommendations.

  B. The audit function helps keep governments accountable to the public by measuring adherence to established laws, regulations, and controls, and the effectiveness, economy, and efficiency of operations.

  C. The audit function provides objective assurance to oversight bodies about the reliability and credibility of financial and performance reports produced by management.

  D. Input from audits can help employees improve their overall job performance and adherence to establish controls.

  Correct Answer: A

• Question 325:

  All of the following are types of audit services EXCEPT:

  A. Audits of Compliance and Audits of Information and related technology

  B. Audits of Financial Statements and Audits of Financial Systems

  C. Audits of Performance/Value-for-Money/Operations (economy, efficiency, effectiveness).

  D. Quality services

  Correct Answer: D

• Question 326:

  The purpose of compliance audits is to test the organizations conformity with some objective standard or criteria. All of the following are attributes that contribute to an effective compliance system EXCEPT:

  A. Requirements are documented and operating procedures are aligned with the requirements in such a manner as to ensure compliance and staff and management are aware of applicable requirements.

  B. The organization has assigned adequate responsibility for such matters as monitoring organizational goals and objectives, operating functions, and regulatory requirements.

  C. Provide continuing education and training for staff (external or in-house training courses, professional conferences, or seminars).

  D. The organizational has a policy regarding acceptable operating practices and codes of conduct.

  Correct Answer: C

• Question 327:

  Government auditing serves a variety of customers. What are the three main types of customers which they serve please mark the correct one?

  A. Potential customers, secondary customers, and beneficiaries.

  B. Primary customers, final customers, and beneficiaries.

  C. Loyal customers, secondary customers, and beneficiaries.

  D. Primary customers, secondary customers, and beneficiaries.

  Correct Answer: D

• Question 328:

  Secondary customers are those people whose systems or processes are influenced by implementing audit recommendations. Secondary customers also include people who make direct use of the information contained in the audit report. All of the following are examples of secondary customers EXCEPT:

  A. High-level managers of agencies or bureaus.

  B. Local/city governments.

  C. Operating managers of agencies or bureaus.

  D. Special interest groups (e.g., consumer advocacy groups, social service organizations, industry and trade groups, etc.)

  Correct Answer: B

• Question 329:

  Which is the practice that an organization uses when the audit staff does not possess the needed skills, and management may temporally contract with a specialist to perform the needed function?

  A. Control

  B. Fraud risk assessment practice

  C. Outsourcing

  D. Accountancy practice

  Correct Answer: C

• Question 330:

  The risk analysis process involves all of the following given below EXCEPT:

  A. Identify auditable activities (programs, accounts, contracts, transactions).

  B. Estimate the significance of a risk (magnitude of exposure in dollars or other type of measure, type of threat, duration)

  C. Do not Estimate the likelihood that a risk will occur and do not determine how to manage the risks.

  D. Estimate the likelihood that a risk will occur and prioritize risks.

  Correct Answer: C