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

IIA IIA-CIA-PART1 Online Questions & Answers

• Question 271:

  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 272:

  An organization's external auditor has prepared a list of risks and issues and has recommended to senior management that the internal audit activity focus on these items. Senior management has forwarded the list to the chief audit executive (CAE). The CAE should:

  A. Incorporate the external auditor's requirements into the internal audit plan.
  B. Ignore the external auditor's requirements because they are outside of the internal audit activity's planned scope of work.
  C. Consider the issues raised by the external auditor for possible inclusion in the planned scope of work.
  D. Report the risks and issues to the audit committee for possible future attention.
  C. Consider the issues raised by the external auditor for possible inclusion in the planned scope of work.

• Question 273:

  The results of an internal audit activity's (IAA) quality assurance and improvement program are favorable and an external assessment was completed within the last five years. Which of the following statements may the IAA use to describe its work?

  A. "Completed with the advance certification of the External Assessors Association for Auditing Review."
  B. "Conforms with the International Standards for the Professional Practice of Internal Auditing."
  C. "Certi ed 100% accuracy, per the International Standards of External Assessment."
  D. "Compliant with all domestic and international legal statutes, and certified quality assured for ten years."
  B. "Conforms with the International Standards for the Professional Practice of Internal Auditing."

• Question 274:

  Which of the following responses to an organization's employee survey would most likely cause an internal auditor to become concerned regarding employees' perception of the tone at the top?

  A. "Unanimous understanding of matters is cherished, and controversial ideas are disregarded during meetings."
  B. "Some new managers are characterized as strict and always follow the rules."
  C. "Remuneration practices allow for considerable differentiation in salary levels, and some new hires are highly paid."
  D. "There is no tolerance for safety violations; employees do not get a second chance when violations are identified."
  A. "Unanimous understanding of matters is cherished, and controversial ideas are disregarded during meetings."

• Question 275:

  A chief audit executive (CAE) is selecting an internal audit team to perform an audit engagement that requires a high level of knowledge in the areas of nance, investment portfolio management, and taxation. If neither the CAE nor the existing internal audit staff possess the required knowledge, which of the following actions should the CAE take?

  A. Postpone the audit until the CAE hires internal audit staff with the required knowledge.
  B. Ask the audit committee to decide the course of action.
  C. Select the most experienced auditors in the department to perform the engagement.
  D. Hire consultants who possess the required knowledge to perform the engagement.
  D. Hire consultants who possess the required knowledge to perform the engagement.

• Question 276:

  A candidate has applied for an entry level internal audit position. The candidate holds a CISA (Certi ed Information Systems Auditor) designation, and has six months of audit experience, but limited knowledge of accounting principles and techniques. According to the IIA guidance, which of the following is the most relevant reason for the chief audit executive to consider this candidate?

  A. Other internal auditors possess suficient knowledge of accounting principles and techniques.
  B. The candidate's information systems knowledge and real-world experience in internal auditing.
  C. Accounting skills can be learned over time with appropriate training.
  D. An entry level position does not require expertise in any particular area.
  B. The candidate's information systems knowledge and real-world experience in internal auditing.

• Question 277:

  How could the implementation of an internal control framework be relevant to the organization's objectives?

  A. It ensures that the organization achieves its objectives.
  B. It provides reasonable assurance that the organization achieves its objectives.
  C. It helps in the determination of audit resources to improve time and solve issues during audit planning.
  D. It helps the auditors in establishing the scope required to meet the objectives of the audit engagement.
  B. It provides reasonable assurance that the organization achieves its objectives.

• Question 278:

  Which of the following concepts is emphasized in the Mission of Internal Audit?

  A. Support of good governance and controls.
  B. Enhancement of organizational value.
  C. Protection of tangible and intangible assets.
  D. Provision of professional advisory and assurance services.
  B. Enhancement of organizational value.

• Question 279:

  Which of the following is an example of a detective control?

  A. Bank reconciliations.
  B. Password-protected access to systems.
  C. Authorization limits for purchases.
  D. Preventive maintenance schedules.
  A. Bank reconciliations.

• Question 280:

  Which of the following is most likely to be an element of an effective compliance program?

  A. The internal audit activity is assigned responsibility for overseeing the program.
  B. The program is communicated to employees in a video format on a one-time basis.
  C. The organization uses monitoring systems designed to detect improper activity.
  D. The organization obtains as much information as possible when performing background checks on employees.
  C. The organization uses monitoring systems designed to detect improper activity.