IIA IIA-CIA-PART2 Online Practice Questions and Exam Preparation

IIA IIA-CIA-PART2 Online Questions & Answers

• Question 221:

  An internal auditor is conducting a preliminary survey of the investments area, and sends an internal control questionnaire to the management of the function. (An extract of the survey is provided below).

  

  Which of the following is a drawback of testing methods like this?

  A. They are limited. as they do not allow the auditor to test many controls.
  B. They do not highlight control gaps.
  C. They are not useful for identifying areas on which the auditor should focus.
  D. They are limited, as there is a risk that management may not answer fairly.
  D. They are limited, as there is a risk that management may not answer fairly.

• Question 222:

  Which of the following activities demonstrates an example of the chief audit executive performing residual risk assessment?

  A. Cost-benefit analysis of management not implementing a recommendation to address an observation.
  B. Inquiry of corrective action to be completed within a certain period.
  C. Reporting the status of every observation of every engagement in a detailed manner.
  D. Soliciting management's feedback after completion of the audit engagement.
  D. Soliciting management's feedback after completion of the audit engagement.

• Question 223:

  Which of the following analytical procedures should an internal auditor use to determine whether monthly expenses for the accounting department are reasonable?

  A. Review year-over-year trending of total dollars spent in each period.
  B. Review changes to the vendor master file for suspicious activity.
  C. Review the percentage of on-time payments against prior periods.
  D. Review total expenses for accounting against other department expenses in the organization.
  A. Review year-over-year trending of total dollars spent in each period.

• Question 224:

  Which of the following should be included in the scope of an audit of a third-party contractor?

  1.Budgets and financial forecasts for the project.

  2.Contractor's information and control systems.

  3.Contractor's financial position.

  4.Progress of the project and costs incurred.

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

• Question 225:

  Which of the following types of information would an internal auditor be most likely to obtain directly from reviewing a system's activity logs?

  A. Documentary evidence about transactions.
  B. identification of the system's inputs and outputs to create a process map.
  C. Confirmation of the accuracy of information produced by the system.
  D. Data to analyze whether system is operating as expected.
  D. Data to analyze whether system is operating as expected.

• Question 226:

  Which of the following best illustrates a condition element of an internal audit observation?

  A. Purchases above a certain value must be additionally approved by management of the division.
  B. Employees executed contracts without required authorizations because they were unaware of new procedures
  C. The organization took on significant obligations because employees did not follow procurement procedures.
  D. For seven of the 10 recent purchases that were checked during the audit engagement, procurement procedures were not followed.
  D. For seven of the 10 recent purchases that were checked during the audit engagement, procurement procedures were not followed.

• Question 227:

  An internal auditor is performing a review of an organization's vendor for any possible conflicts of interest. Which of the following would provide the greatest assistance to the auditor in meeting this objective?

  A. Vendor contracts.
  B. Employee master list.
  C. Payment records.
  D. Purchasing policy.
  B. Employee master list.

• Question 228:

  Which of the following engagement supervision activities should be performedfirst?

  A. Ensure that internal audit recommendations are practical, cost-effective, and value-added.
  B. Ensure that internal audit conclusions are based on sufficient and reliable evidence.
  C. Ensure that risks to the timely completion of the engagement are assessed.
  D. Ensure that performance assessments are completed for audit team members.
  C. Ensure that risks to the timely completion of the engagement are assessed.

• Question 229:

  Which of the following is most likely to be judged as a significant residual risk that would exceed the organization's acceptable risk level?

  A. Any risk involving organizational expansion into a new geographical area with an unstable political environment.
  B. Any risk involving investments into bitcoin and suspicious derivatives.
  C. Any risk that can cause material or financial loss.
  D. Any risk that could cause injuries or pollute the environment.
  C. Any risk that can cause material or financial loss.

• Question 230:

  To which of the following aspects should the chief audit executive give the most consideration while communicating an identified unacceptable risk to management?

  A. The organization's attitude to hierarchy.
  B. The organization's whistleblowing strategy.
  C. The organization's ongoing risk monitoring process.
  D. The organization's risk management policy.
  D. The organization's risk management policy.