IIA IIA-CHAL-QISA Online Practice Questions and Exam Preparation

IIA IIA-CHAL-QISA Online Questions & Answers

• Question 71:

  According to IIA guidance, which of the following best describes the purpose of a planning memorandum for an audit engagement?

  A. It documents the audit steps and procedures to be performed.
  B. it documents preliminary information useful to the audit team.
  C. It documents events that could hinder the achievement of process objectives.
  D. It documents existing measures that manage risks in the area under review
  A. It documents the audit steps and procedures to be performed.

• Question 72:

  A bicycle manufacturer incurs a combination of fixed and variable costs with the production of each bicycle. Which of the following statements is true regarding these costs?

  A. if the number of bicycles produced is increased by 15 percent, the variable cost per unit will increase proportionally
  B. The fixed cost per unit will vary directly based on the number of bicycles produced during the production cycle.
  C. The total variable cost will vary proportionally and inversely with the number of bicycles produced during a production run.
  D. if the number of bicycles produced is increased by 30 percent, the fixed cost per unit will decline.
  D. if the number of bicycles produced is increased by 30 percent, the fixed cost per unit will decline.

• Question 73:

  According to IIA guidance, which of the following statements is true regarding reporting the results of the quality assurance and improvement program?

  A. Results of internal assessments need to be reported to the board at least once every five years.
  B. The external assessor must present the findings from the external assessment to senior management and the board upon completion.
  C. Deficiencies within the internal audit activity must be reported to the board as soon as they are noted
  D. Results of ongoing monitoring of the internal audit activity's performance must be reported to senior management and the board at least annually
  D. Results of ongoing monitoring of the internal audit activity's performance must be reported to senior management and the board at least annually

• Question 74:

  Who is responsible for ensuring internal auditors continuing professional development?

  A. Individual internal auditors
  B. Chief audit executive.
  C. The board
  D. Engagement supervisors
  A. Individual internal auditors

• Question 75:

  Which of the following is the next step in understanding a business process once an internal auditor has identified the process?

  A. Determine process outputs
  B. Determine process inputs.
  C. Determine process activities.
  D. Determine process goals
  C. Determine process activities.

• Question 76:

  According to IIA guidance, which of the following statements is true regarding engagement planning?

  A. For both assurance and consulting engagements, planning typically occurs after the engagement objectives and scope have already been determined.
  B. The expectations and objectives of an assurance engagement are usually determined by. or in conjunction with, the engagement client
  C. Internal auditors may not need to complete a preliminary risk assessment for a consulting engagement as they would when planning an assurance engagement.
  D. For both consulting and assurance engagements, internal auditors usually form the engagement objectives prior to completing the preliminary risk assessment
  B. The expectations and objectives of an assurance engagement are usually determined by. or in conjunction with, the engagement client

• Question 77:

  Applying ISO 31000; which of the following is part of the external context for risk management?

  A. Risk treatment method based on risk evaluation.
  B. Organizational culture, objectives, and processes.
  C. The regulatory and competitive environment.
  D. The method of determining the risk level
  C. The regulatory and competitive environment.

• Question 78:

  Which of the following offers the best explanation of why the auditor in charge would assign a junior auditor to complete a complex part of the audit engagement?

  A. The senior auditors are unavailable, as they are currently working on other portions of the engagement
  B. The auditor in charge believes that the junior auditor should obtain a specific type of experience.
  C. The audit engagement has a tight deadline and the work must be completed timely.
  D. The auditor in charge is unable to identify audit staff with all of the required skills needed to complete the engagement
  B. The auditor in charge believes that the junior auditor should obtain a specific type of experience.

• Question 79:

  Which of the following offers the best evidence that the internal audit activity has achieved organizational independence?

  A. An independent third party has assessed the organization's system of internal controls to be adequate and effective.
  B. The chief audit executive reports both functionally and administratively to the CEO
  C. The internal audit charter is drafted properly and approved by the appropriate parties.
  D. The mission statement and strategy of the internal audit activity demonstrates alignment to organizational objectives
  C. The internal audit charter is drafted properly and approved by the appropriate parties.

• Question 80:

  Which of the following statements is true regarding the management-by-objectives method?

  A. Management by objectives is most helpful in organizations that have rapid changes
  B. Management by objectives is most helpful in mechanistic organizations with rigidly defined tasks.
  C. Management by objectives helps organizations to keep employees motivated.
  D. Management by objectives helps organizations to distinguish clearly strategic goals from operational goals
  C. Management by objectives helps organizations to keep employees motivated.