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

IIA IIA-CIA-PART2 Online Questions & Answers

• Question 521:

  An internal auditor compared the number of human resources professionals per employee with industry standards. This comparison would assist the auditor in evaluating which of the following areas?

  A. Sufficiency of controls over payroll rate increases.
  B. Current level of performance of the human resources department.
  C. Adequacy of controls over hiring new employees.
  D. Degree of compliance with human resources policies.
  B. Current level of performance of the human resources department.

• Question 522:

  Which of the following approaches to understanding business processes is conducted from a broad organizational perspective and has the greatest risk of overlooking processes that are ultimately critical?

  A. Process narrative.
  B. Process mapping.
  C. Bottom-up.
  D. Top-down.
  D. Top-down.

• Question 523:

  When setting the scope for the identification and assessment of key risks and controls in a process, which of the following would be the least appropriate approach?

  A. Develop the scope of the audit based on a bottom-up perspective to ensure that all business objectives are considered.
  B. Develop the scope of the audit to include controls that are necessary to manage risk associated with a critical business objective.
  C. Specify that the auditors need to assess only key controls, but may include an assessment of non-key controls if there is value to the business in providing such assurance.
  D. Ensure the audit includes an assessment of manual and automated controls to determine whether business risks are effectively managed.
  A. Develop the scope of the audit based on a bottom-up perspective to ensure that all business objectives are considered.

• Question 524:

  Which of the following questions would provide the most important information when examining the key risks of a new business process?

  A. What are the procedural steps?
  B. Why does the new process exist?
  C. Who are the personnel involved?
  D. What are the primary inputs and outputs?
  C. Who are the personnel involved?

• Question 525:

  A relatively new gearbox of a wind turbine generator broke down shortly after maintenance. The maintenance manager assumed that maintenance procedures were not followed appropriately. However, investigation revealed that the procedure was executed as intended. The gearbox was sent to a laboratory to be tested for faulty design, but the response was negative. Finally, a group of experts identified that the breakage resulted from usage of an unsuitable lubricant. Which of the following approaches was applied in this situation?

  A. Analytical audit procedures.
  B. A root-cause analysis.
  C. Lean Six Sigma approach.
  D. A GANTT chart analysis.
  B. A root-cause analysis.

• Question 526:

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

  A. Audit reports should include the workpapers as a reference for the audit conclusions.
  B. The internal auditor's workpapers are the primary reference for reported control defficiencies.
  C. Ad-hoc communications with management of the area under review should be excluded from the workpapers.
  D. Both draft and final versions of workpapers should be saved at the end of the engagement.
  A. Audit reports should include the workpapers as a reference for the audit conclusions.

• Question 527:

  When interrogating an individual who is suspected of fraud, it is appropriate to:

  A. Tell the individual that any information disclosed in the interrogation will not be disclosed outside of the company.
  B. Start the interview with questions to which the interviewer already knows the answer.
  C. Discontinue questioning once the individual has confessed to the fraud.
  D. Prepare a list of questions prior to the interrogation and strictly adhere to the list.
  B. Start the interview with questions to which the interviewer already knows the answer.

• Question 528:

  An internal auditor was reviewing the procurement department's tender documentation for completeness. He documented all discrepancies, but the procurement manager disagreed with his findings. Upon further review, the internal auditor noted that all discrepancies had been corrected in the tender database. Which of the following courses of action would have prevented this situation?

  A. The auditor should have ensured the preservation of audit evidence by taking screenshots or extracting tender documents.
  B. The auditor should have extracted a list of logs and identified any actions that were executed in the database during the audit.
  C. The auditor should have instructed procurement workers that changes to the database during the course of the audit were strictly forbidden.
  D. The internal auditor should have created a more thorough work program, which would address audit criteria and potential causes in more detail.
  A. The auditor should have ensured the preservation of audit evidence by taking screenshots or extracting tender documents.

• Question 529:

  Which of the following statements is true regarding the communication and approval of the internal audit plan?

  A. After communicating the internal audit plan to the board, the chief audit executive (CAE) determines the resources needed to implement it.
  B. The CAE and the board agree in advance on the criteria that would determine whether changes to the internal audit plan need to be discussed with the board.
  C. After communicating the internal audit plan to the board, the CAE should present it to senior management.
  D. The internal audit plan should be presented to the board during a meeting without senior management present.
  C. After communicating the internal audit plan to the board, the CAE should present it to senior management.

• Question 530:

  Senior management requested that the internal audit activity perform a consulting project to assist in making a decision on a new software system. Which of the following would be used to determine the engagement objectives?

  A. An assessment of risks to the business objectives.
  B. An understanding of the engagement client's expectations.
  C. The probability of significant errors, fraud, or noncompliance.
  D. Criteria previously established by the board.
  A. An assessment of risks to the business objectives.