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

IIA IIA-CIA-PART1 Online Questions & Answers

• Question 891:

  Why is it important for the chief audit executive to periodically review the audit charter and present the results to senior management and the board?

  A. Because management requires the review to measure effectiveness of the internal audit activity.
  B. So that the individual objectivity of the internal audit staff can be more clearly established.
  C. So that there is assurance of the internal audit staff's proficiency to complete audit activities.
  D. Because changes in the organization may impair the internal audit activity's ability to meet its objectives.
  D. Because changes in the organization may impair the internal audit activity's ability to meet its objectives.

• Question 892:

  According to IIA guidance, which of the following components must be included in the annual report to the board on the quality assurance and improvement program?

  A. Results from the assessment and the current status of resulting action plans.
  B. Disclosure of nonconformance that impacts the overall operation of the internal audit activity.
  C. Audit clients' feedback and recommendations for quality improvement.
  D. A statement of compliance with the Code of Ethics, Standards, and definition of Internal Auditing.
  A. Results from the assessment and the current status of resulting action plans.

• Question 893:

  Which of the following Code of Ethics principles specifically requires internal auditors to disclose all material facts known to them that, if not disclosed, may distort the reporting of activities under review?

  A. Con dentiality.
  B. Transparency.
  C. Integrity.
  D. Objectivity.
  D. Objectivity.

• Question 894:

  Which of the following is not a typical objective of any training plan developed for internal audit activity staff?

  A. Consistency.
  B. Economy.
  C. Quality.
  D. Relevance.
  B. Economy.

• Question 895:

  An auditor identifies three errors in the sample of 25 entries selected for review (a 12 percent error rate). Based on this result, the auditor assumes that approximately 59 of the total population of 492 entries are incorrect. To reach this assumption, the auditor has used a technique known as which of the following?

  A. Variability tolerance.
  B. Ratio estimation.
  C. Strati cation.
  D. Acceptance sampling.
  B. Ratio estimation.

• Question 896:

  To determine if a new computer system is improving the use of a manufacturer's limited facilities in serving the largest number of customers, an auditor should compare.

  A. The number of reworked orders and their costs before and after system installation.
  B. Inventory and materials handling costs before and after system installation.
  C. The number of orders lled and their cycle times before and after system installation.
  D. The number of reworked orders and orders lled before and after system installation.
  C. The number of orders lled and their cycle times before and after system installation.

• Question 897:

  Which of the following statements correctly describes how workpaper standards can improve the efficiency of internal audit operations?

  A. They require supervisors to provide written confirmation of the workpapers they review.
  B. They grant external parties approved by management access to workpapers.
  C. They mandate the workpaper retention period.
  D. They allow the design and content to vary depending on the nature of the engagement.
  A. They require supervisors to provide written confirmation of the workpapers they review.

• Question 898:

  Which of the following would provide the best guidance to a chief audit executive who is setting internal audit staff requirements?

  A. A review of audit staff education and training records.
  B. Information about the audit staff size and composition of comparable organizations.
  C. Results from discussions of audit needs with executive management and the audit committee.
  D. The results of the audit staff's most recent performance reviews.
  C. Results from discussions of audit needs with executive management and the audit committee.

• Question 899:

  A manufacturing organization discovers that the waste water released has failed to meet permitted limits. Which control function will be least effective in correcting the issue?

  A. Performing a chemical analysis of the water, prior to discharge, for components specified in the permit.
  B. Posting signs that tell employees which substances may be disposed of via sinks and floor drains within the facility.
  C. Diluting pollutants by ushing sinks and floor drains daily with large volumes of clean water.
  D. Establishing a preventive maintenance program for the pretreatment system.
  C. Diluting pollutants by ushing sinks and floor drains daily with large volumes of clean water.

• Question 900:

  According to IIA guidance, which of the following statements regarding ethics is true?

  A. Business ethics may vary within an organization with both domestic and foreign operations.
  B. Business ethics are universal in nature and organizations across the world are expected to comply with similar standards.
  C. A business ethics policy for an organization is established solely to direct the behavior and expectations of employees.
  D. Business ethics of an organization must remain independent from those of suppliers, customers, and business partners.
  D. Business ethics of an organization must remain independent from those of suppliers, customers, and business partners.