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

IIA IIA-CIA-PART1 Online Questions & Answers

• Question 491:

  Which of the following is not an advantage of face-to-face interviews over electronic surveys?

  A. The response rate is typically higher.
  B. Interviewers can increase a respondent's comprehension of questions.
  C. Survey designers can use a wider variety of question types.
  D. They are less expensive to distribute and compile data.
  D. They are less expensive to distribute and compile data.

• Question 492:

  During an audit of a major contract, an internal auditor nds that actual hours and dollars billed are consistently at or near budgeted amounts. This condition is a red flag for which of the following procurement fraud schemes?

  A. Defective pricing.
  B. Cost mischarging.
  C. Fictitious vendor.
  D. Bid rotation.
  B. Cost mischarging.

• Question 493:

  Which of the following indicates that internal audit independence may be compromised?

  A. The internal auditor maintains a close personal relationship with operational management.
  B. Material observations were intentionally left out of the audit report.
  C. Internal auditors assigned to the audit engagement did not have the knowledge, skills, and competencies needed to perform their responsibilities.
  D. An internal auditor failed to apply professional skepticism while performing audit tests in an area overseen by an experienced, reputable manager.
  A. The internal auditor maintains a close personal relationship with operational management.

• Question 494:

  According to IIA guidance, which of the following must internal auditors consider to conform with the requirements for due professional care during a consulting engagement?

  1. The cost of the engagement, as it pertains to audit time and expenses in relation to the potential benefits.

  2. The needs and expectation of clients, including the nature, timing, and communication of engagement results.

  3. The application of technology-based audit and other data analysis techniques, where appropriate.

  4. The relative complexity and extent of work needed to achieve the engagement's objectives.

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

• Question 495:

  Which of the following controls would most likely prevent the input of an unreasonable number of labor hours into a costing system?

  A. Recalculation tests during processing.
  B. Programmed limit tests of input fields.
  C. Reconciliation of input control totals.
  D. Consistency checks of data in input fields.
  B. Programmed limit tests of input fields.

• Question 496:

  Which of the following organizational policy changes exempli es a corporate social responsibility initiative?

  A. Restricting the administration of organizational social media accounts to senior management within the communications department.
  B. Discontinuing marketing campaigns that target specific genders.
  C. Updating vendor contracts to allow audits examining whether consumer data was obtained ethically.
  D. Implementing a recognition and rewards program for employees with the most effective marketing campaigns.
  C. Updating vendor contracts to allow audits examining whether consumer data was obtained ethically.

• Question 497:

  A company produces a product that consists of materials X, Y, and Z. The product is mixed so that:

  The quantity of material X used is one-third more than that of material Y. The quantity of material Y used is one-fourth less than that of material Z. If the company used 24,000 units of material Z during a period, what is a reasonable estimate of the amount of material X used?

  A. 8,000
  B. 18,000
  C. 24,000
  D. 32,000
  C. 24,000

• Question 498:

  Which of the following is not considered one of the most common red flags for perpetrators of fraud?

  A. Excessive control issues.
  B. Repeat performance issues.
  C. Unusually close association with customers.
  D. Experiencing financial difficulty.
  B. Repeat performance issues.

• Question 499:

  The chief audit executive assigned a team of new internal auditors, led by an experienced IT auditor, to conduct an audit of IT general controls within the payroll department. All but one of the auditors on the team possess IT-related certifications, but none of the new auditors have prior experience performing IT audits. The lead auditor has experience and is familiar with payroll department operations, as she is close friends with the department manager. Which of the following statements is true regarding this scenario?

  A. Objectivity is impaired, as the lead auditor is a close friend of the payroll department manager.
  B. Proficiency is impaired, as most of the team have no previous experience in performing IT audits.
  C. Due professional care is impaired, as the team of auditors is new, while only the lead auditor is experienced.
  D. The Code of Ethics is violated, as one of the auditors does not meet the requirement for competency due to lacking an IT-related certification.
  A. Objectivity is impaired, as the lead auditor is a close friend of the payroll department manager.

• Question 500:

  Which of the following best describes an appropriate form of working paper standardization?

  A. Uniform cross referencing system.
  B. Customized layouts for each specific audit area.
  C. Comprehensive data lists from information databases.
  D. Audit client review and approval.
  A. Uniform cross referencing system.