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

IIA IIA-CIA-PART2 Online Questions & Answers

• Question 491:

  An internal audit team completed engagement fieldwork to assess an organization's ability to meet performance outputs. The draft audit report identifies significant weaknesses in the organization's ability to meet performance outcomes. However, further review of the workpapers found significant flaws in the auditor's conclusions that impact the results of the report. Which of the following is the most likely contributor to this issue?

  A. There was not enough testing performed to provide a complete assessment of the organization's performance outcomes.
  B. There was not enough clarity about the objective of the fieldwork to ensure information was supported and complete.
  C. There was not enough supervision of the workpapers to ensure conclusions supported the engagement objective.
  D. There was not enough understanding of the organization's performance standards to ensure metrics were accurate.
  C. There was not enough supervision of the workpapers to ensure conclusions supported the engagement objective.

• Question 492:

  An internal auditor collected several employee testimonials. Which of the following is the best action for the internal auditor to take before drawing a conclusion?

  A. Ensure the testimonials are well documented.
  B. Substantiate the testimonials with physical or documentary evidence.
  C. Corroborate testimonials with the results from other soft control techniques.
  D. Review the testimonials with the interviewed employees.
  B. Substantiate the testimonials with physical or documentary evidence.

• Question 493:

  In advance of a preliminary survey, a chief audit executive sends a memorandum and questionnaire to the supervisors of the department to be audited. What is the most likely result of that procedure?

  A. It creates apprehension about the audit engagement.
  B. It involves the engagement client's supervisory personnel in the audit.
  C. It is an uneconomical approach to obtaining information.
  D. It is only useful for audits of distant locations.
  B. It involves the engagement client's supervisory personnel in the audit.

• Question 494:

  Which of the following is an advantage of control self-assessment (CSA) over conventional auditing techniques?

  A. CSA evaluates control activities and human resource practices.
  B. CSA provides assurance about whether business objectives will be met.
  C. CSA facilitates obtaining input from subject-matter experts efficiently.
  D. CSA provides assurance that action will be taken to improve defficiencies.
  C. CSA facilitates obtaining input from subject-matter experts efficiently.

• Question 495:

  Which of the following would present the most critical external risk to an organization?

  A. The organization experiences a merger, and the management team is reorganized and redistributed globally.
  B. The organization launches a product into new global markets.
  C. After minimal testing, the organization implements a new system to replace a legacy system.
  D. Regulators announce broad legislative reforms applicable to the industry within which the organization operates.
  C. After minimal testing, the organization implements a new system to replace a legacy system.

• Question 496:

  In addition to gathering information, which of the following is a primary objective of a client interview conducted during the planning stage of an audit engagement?

  A. To obtain sufficient audit evidence.
  B. To test the client's knowledge.
  C. To agree on the auditor's scope of authority.
  D. To establish rapport.
  D. To establish rapport.

• Question 497:

  When auditing an organization's purchasing function, which of the following appropriately matches an engagement objective and the resulting audit procedure?

  A. Determine whether the purchasing department complies with policy by examining a random selection of purchase orders.
  B. Evaluate whether purchasing requests are properly approved by authorized staff by obtaining independent verification from the vendors.
  C. Ascertain whether material receipts are recorded on a timely basis by reviewing physical inventory stock counts.
  D. Determine whether prices charged for goods received are correct by reviewing the appropriate accounts payable record by vendor.
  A. Determine whether the purchasing department complies with policy by examining a random selection of purchase orders.

• Question 498:

  An organization's project development team was struggling to manage project costs, so the internal audit engagement supervisor shared a solution with the project team and trained them on how to use formulas and extract data from the financial reporting system. The solution was an automated cost control table to enable instant updates of project development costs. Which of the following activities best describes the tool provided?

  A. Internal control review.
  B. Internal control training.
  C. Control self-assessment.
  D. Continuous monitoring.
  D. Continuous monitoring.

• Question 499:

  An internal auditor is planning audit procedures to ensure that the financial accounts contain accurate statements about the organization's financial position. Which of the following procedures is the internal auditor most likely to include in the work program?

  A. Vouch the purchase of assets to the sales contracts with the organization
  B. Inspect the goods received to determine whether inventory records are complete
  C. Confirm liabilities to the creditors from the approved purchase orders
  D. Trace the value of the accounts receivable balances with each of the debtors
  D. Trace the value of the accounts receivable balances with each of the debtors

• Question 500:

  Which of the following factors would the auditor in charge be least likely to consider when assigning tasks to audit team members for an engagement?

  A. The amount of experience the auditors have conducting audits in the specific area of the organization.
  B. The availability of the auditors in relation to the availability of key client staff.
  C. Whether the budgeted hours are sufficient to complete the audit within the current scope.
  D. Whether outside resources will be needed, and their availability.
  C. Whether the budgeted hours are sufficient to complete the audit within the current scope.