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

IIA IIA-CIA-PART1 Online Questions & Answers

• Question 761:

  When auditing the award of a major contract, which of the following should an internal auditor suspect as a red flag for a bidding fraud scheme?

  1. Subsequent change orders increase requirements for low-bid items.

  2. Material contract requirements are different on the actual contract than on the request for bids.

  3. A high percentage of employees are charged to indirect accounts.

  4. Losing bidders are hired as subcontractors.

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

• Question 762:

  Which of the following statements is true with regard to governance?

  A. Governance activities support the organization's risk management framework.
  B. Cultural risk factors can impede the operation of governance activities.
  C. Internal control within an organization is supported by governance activities.
  D. Governance activities are uniform for organizations in the same industry.
  A. Governance activities support the organization's risk management framework.

• Question 763:

  Which of the following would be outside the scope of acquiring and developing human resources for an internal audit department?

  A. Requiring audit staff to participate in continuing education activities.
  B. Writing job descriptions for audit staff, audit managers, and other auditing positions.
  C. Conducting individual counseling sessions regarding professional development and performance.
  D. Evaluating auditors' compliance with standards and level of audit effectiveness.
  D. Evaluating auditors' compliance with standards and level of audit effectiveness.

• Question 764:

  Which of the following would be the best source of information for a chief audit executive to use in planning future audit staff requirements?

  A. Discussions of audit needs with executive management and the audit committee.
  B. Review of audit staff education and training records.
  C. Review of audit staff size and composition of similar-sized companies in the same industry.
  D. Interviews with existing audit staff.
  A. Discussions of audit needs with executive management and the audit committee.

• Question 765:

  Which risk management activity would cause the internal auditor to assume a management responsibility?

  A. Assessing management's acceptance of risk.
  B. Reviewing a cybersecurity risk report issued by management.
  C. Developing a list of emerging risks for management.
  D. Prioritizing risks for management.
  D. Prioritizing risks for management.

• Question 766:

  According to the Standards, the organizational status of the internal audit activity:

  A. Must be suficient to permit the accomplishment of its audit responsibilities.
  B. Is best when the reporting relationship is direct to the board of directors.
  C. Requires the board's annual approval of the audit schedules, plans, and budgets.
  D. Is guaranteed when the charter specifically defines its independence.
  A. Must be suficient to permit the accomplishment of its audit responsibilities.

• Question 767:

  Which of the following is a responsibility of the organization's governing body?

  A. Creating metrics to measure the performance of the CEO.
  B. Reporting on the development of the organization's strategic plan.
  C. Creating metrics to measure the performance of employees throughout the organization.
  D. Reporting on the performance of the organization against the strategic plan.
  D. Reporting on the performance of the organization against the strategic plan.

• Question 768:

  An external assessment of an organization's internal audit activity was last completed four years ago. Which of the following options would be acceptable this year if the internal audit activity is to fulfill the requirements of the Standards?

  A. The internal audit activity conducts a self-assessment that is validated by a qualified and experienced internal auditor and then schedules a qualified, independent external assessor.
  B. The board nominates an independent individual from senior management in the organization to conduct an assessment of the internal audit activity.
  C. An external auditor conducts an audit of the organization, which includes information about the internal audit activity.
  D. The chief audit executive schedules a self-assessment and the board approves the results.
  A. The internal audit activity conducts a self-assessment that is validated by a qualified and experienced internal auditor and then schedules a qualified, independent external assessor.

• Question 769:

  An internal auditor is planning an audit of an organization where temporary employees are suspected of receiving pay for hours they have not worked. Which of the following tasks should not be performed at this stage in the audit?

  A. Interviewing the manager who requested the audit engagement.
  B. Obtaining a copy of the contract between the organizations and the temporary employment agency.
  C. Interviewing shift supervisors about their employees' attendance.
  D. Preparing an engagement program.
  C. Interviewing shift supervisors about their employees' attendance.

• Question 770:

  Which of the following is the best way for an internal auditor to demonstrate due professional care?

  A. Conduct an audit to the same extent that another prudent auditor would under similar circumstances.
  B. Seek feedback from the engagement supervisor during the engagement.
  C. Execute internal audit work in such a manner as to provide absolute assurance of compliance.
  D. Request and receive client feedback surveys during the engagement.
  A. Conduct an audit to the same extent that another prudent auditor would under similar circumstances.