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

IIA IIA-CIA-PART1 Online Questions & Answers

• Question 341:

  According to IIA guidance, which of the following is an appropriate role for the internal audit activity?

  A. Coaching management in responding to risks.
  B. Implementing risk responses on management's behalf.
  C. Imposing risk management processes.
  D. Setting the risk appetite.
  A. Coaching management in responding to risks.

• Question 342:

  Which of the following is true regarding the purpose of the COSO enterprise risk management framework?

  1. It is a process that is ongoing and flows throughout the organization.

  2. It contributes to the formulation of the organization's mission and vision.

  3. It enables internal audit to provide reasonable assurance to an organization's management and the board.

  4. It enables the management of risks within an organization's risk appetite.

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

• Question 343:

  An organization is conducting a fraud risk assessment as part of its risk management program. Which of the following steps is the organization most likely to perform first?

  A. Identify relevant fraud risk factors.
  B. Identify potential fraud schemes.
  C. Identify existing controls for preventing and detecting fraud.
  D. Identify red flags by conducting data analysis.
  A. Identify relevant fraud risk factors.

• Question 344:

  Which of the following best describes the misdirection of payments on accounts receivable to an employee's bank account?

  A. Fraud open on the books.
  B. Fraud hidden on the books.
  C. Fraud off the books.
  D. Fraud on the balance sheet.
  C. Fraud off the books.

• Question 345:

  Which of the following best describes a purpose for the internal audit charter?

  A. The internal audit charter authorizes the internal audit activity's reporting structure and clearly defines the roles of each internal auditor.
  B. The internal audit charter defines the roles and responsibilities of the chief audit executive, board of directors, and senior management.
  C. The internal audit charter authorizes access to records, personnel, and physical properties relevant to the performance of audit engagements.
  D. The internal audit charter defines the criteria by which the internal audit activity's performance will be evaluated.
  C. The internal audit charter authorizes access to records, personnel, and physical properties relevant to the performance of audit engagements.

• Question 346:

  Which of the following would be most effective in determining if the percentage of medication orders containing errors improved after a hospital installed a computerized medication-tracking system?

  A. Compare the proportion of erroneous medication orders before and after system installation for similar periods.
  B. Compare the number of errors before and after system installation for similar periods.
  C. Compare, after adjusting for the number of patients, the proportion of erroneous medication orders before and after system installation.
  D. Compare, after adjusting for the number of patients, the number of errors before and after system installation for similar periods.
  A. Compare the proportion of erroneous medication orders before and after system installation for similar periods.

• Question 347:

  Management of an area under review is aggressive, upset, and questioning the knowledge and experience of the organization's internal auditors, as the audit results highlight critical findings. The relationship between the internal audit activity and management has continued to deteriorate, as previous audit reports also showed a large number of issues. What would be the best strategy for working through the current audit results while also attempting to repair the relationship with management?

  A. Take an accommodating approach and change the overall rating of the audit report.
  B. Take a compromising approach by modifying the tone of the report, while maintaining the critical findings.
  C. Take an assertive approach and be persistent in attempting to convince the director.
  D. Take an assisting approach and offer to assist with the implementation of action plans.
  B. Take a compromising approach by modifying the tone of the report, while maintaining the critical findings.

• Question 348:

  A new internal audit activity is considering the adoption of a risk and control framework. Which of the following is the most appropriate consideration during this process?

  A. The framework should not be developed by the internal audit activity.
  B. The framework should apply to individual projects rather than the organization as a whole.
  C. The framework should always be tailored to the organization.
  D. The framework should require fewer resources to implement.
  C. The framework should always be tailored to the organization.

• Question 349:

  Prior to commencing a financial compliance engagement, the engagement supervisor reads the business plan for the finance department and meets informally with the director to learn more about any key issues. Which of the following competencies is the engagement supervisor demonstrating?

  A. The ability to inspire trust.
  B. The ability to communicate effectively.
  C. The ability to display courage.
  D. The ability to understand the needs of stakeholders.
  B. The ability to communicate effectively.

• Question 350:

  The internal audit activity was asked to conduct an investigation for potential fraud in the treasury department and subsequently contracted with a forensic accountant to join the team for the engagement. Which of the following parties has the primary responsibility for resolving any fraud incidents found as a result of this investigation?

  A. Chief audit executive.
  B. Senior management.
  C. The forensic accountant.
  D. The legal department.
  B. Senior management.