IIA IIA-CIA-PART1 Online Practice Questions and Exam Preparation

IIA IIA-CIA-PART1 Online Questions & Answers

• Question 111:

  Which of the following activities best ensures that internal auditors grow professionally in alignment with current industry trends to meet the expectations of primary stakeholders?

  A. Deploying self-assessments against a competency benchmark.
  B. Acquiring memberships in professional organizations.
  C. Developing professional succession plans.
  D. Obtaining subscriptions to professional journals in their area of interest.
  A. Deploying self-assessments against a competency benchmark.

• Question 112:

  Which of the following is a valid statement about the use of visual observations during an audit engagement?

  1. Visual observations can be used to detect ineffective controls, idle resources, and safety hazards.

  2.

  Visual observations can be used during both preliminary survey and fieldwork stages of the audit engagement.

  3.

  Visual observations can provide unsubstantiated facts to management if the internal auditor believes the information is useful.

  4.

  Visual observations can assist an auditor in determining if a material observation should be communicated through informal means to the organizations senior management.

  A. 1 and 2 only
  B. 1 and 4 only
  C. 2 and 3 only
  D. 3 and 4 only
  A. 1 and 2 only

• Question 113:

  According to IIA guidance, which of the following individuals would best be considered independent for the purpose of participating in an external assessment of the quality assurance and improvement program for an internal audit activity (IAA)?

  A. A former employee knowledgeable of the IAA who resigned three years earlier from the organization.
  B. A competent employee of an independent external organization that provides co-sourcing services to the IAA.
  C. An employee in an a liated organization who has never worked directly with the IAA.
  D. An employee in the parent organization who has not had any previous contact with the IAA.
  A. A former employee knowledgeable of the IAA who resigned three years earlier from the organization.

• Question 114:

  With regard to the internal audit activity's quality assurance and improvement program, which of the following must be reported to the board?

  A. A statement of independence of the organization's internal auditors.
  B. Meeting minutes with the assessment team, if key risks were identified and discussed.
  C. Frequency of the quality assessments being performed.
  D. Summary of previous internal assessments undertaken.
  C. Frequency of the quality assessments being performed.

• Question 115:

  According to IIA guidance, the nature and scope of assurance and consulting services to be offered must be clearly delineated in which of the following internal audit documents?

  A. The internal audit policies and procedures handbook.
  B. The internal audit charter.
  C. The internal audit mission statement.
  D. Each internal audit engagement letter.
  B. The internal audit charter.

• Question 116:

  A staff auditor, nearly nished with an audit engagement, discovers that the director of marketing has a gambling habit.

  The gambling issue is not directly related to the existing engagement, and there is pressure to complete the current engagement.

  The auditor notes the problem and forwards the information to the chief audit executive, but performs no further follow-up.

  Which of the following statements is true about the auditor's actions?

  A. They are in violation of the IIA Code of Ethics because the auditor withheld meaningful information.
  B. They are in violation of the Standards because the auditor did not properly follow up on a red flag that might indicate the existence of fraud.
  C. They are in violation of neither the IIA Code of Ethics nor the Standards.
  D. They are not in violation of the Standards but are in violation of the IIA Code of Ethics.
  C. They are in violation of neither the IIA Code of Ethics nor the Standards.

• Question 117:

  Which of the following must be included when reporting results of a quality assurance and improvement program?

  A. The designated objectives of both internal and external assessments.
  B. The risk acceptance for areas not in conformance with the Standards.
  C. The qualifications and independence of the assessment team.
  D. The methodological approach of conducting external assessments.
  C. The qualifications and independence of the assessment team.

• Question 118:

  An external assessment was performed as part of the organization's quality assurance and improvement program. Which of the following conclusions confirms that the internal audit activity is in conformance with the Standards?

  A. The chief audit executive is well qualified and has responsibilities over operational areas that the internal audit activity assesses.
  B. Periodic self-assessments are assigned to entry-level internal audit staff to support their continuing professional development.
  C. All audit workpapers are reviewed and signed by the engagement supervisor before the audit report is issued.
  D. Employees who rotate into the internal audit activity from other areas of the organization are assigned to audit areas where they previously worked, to take advantage of their operational expertise and experience.
  C. All audit workpapers are reviewed and signed by the engagement supervisor before the audit report is issued.

• Question 119:

  Performing a monthly analysis of potential duplicate invoices paid to suppliers is an example of which type of fraud control?

  A. Preventive control.
  B. Corrective control.
  C. Proactive control.
  D. Detective control.
  D. Detective control.

• Question 120:

  An internal auditor wants to sample data to test an audit theory in a cost-effective way. Which of the following sampling strategies should she use?

  A. Statistical sampling only
  B. Nonstatistical sampling only
  C. A combination of both statistical and nonstatistical sampling.
  D. Neither approach to testing the audit theory would be cost effective.
  B. Nonstatistical sampling only