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

IIA IIA-CIA-PART2 Online Questions & Answers

• Question 631:

  Which of the following would not be a typical activity for the chief audit executive to perform following an audit engagement?

  A. Report follow-up activities to senior management.
  B. Implement follow-up procedures to evaluate residual risk.
  C. Determine the costs of implementing the recommendations.
  D. Evaluate the extent of improvements.
  C. Determine the costs of implementing the recommendations.

• Question 632:

  During an audit of the human resources department, an internal auditor adopts benchmarking to test the employee turnover rate. How should the internal auditor apply this technique?

  A. Compare turnover in the organization to published turnover rates of peer organizations.
  B. Compare turnover in one period with turnover in the previous period in the organization.
  C. Compare turnover in the period to total employees in the organization.
  D. Compare turnover with the auditor's general knowledge of the organization.
  B. Compare turnover in one period with turnover in the previous period in the organization.

• Question 633:

  An internal auditor has suspicions that the management of a department splits the number of planned purchases to avoid the approval process required for larger purchases. Which of the following would be the most efficient technique to help the auditor identify the severity of this malpractice?

  A. Examining the entire population.
  B. Asking management about the malpractice.
  C. Testing a sample of random transactions.
  D. Using data analytics.
  D. Using data analytics.

• Question 634:

  An audit identified a number of weaknesses in the configuration of a critical client/server system. Although some of the weaknesses were corrected prior to the issuance of the audit report, correction of the rest will require between six and 18 months for completion. Consequently, management has developed a detailed action plan, with anticipated completion dates, for addressing the weaknesses. Which of the following is the most appropriate course of action for the chief audit executive to take?

  A. Assess the adequacy of the action plan and monitor key dates and deliverables.
  B. Schedule a follow-up audit engagement to assess the status of corrective action.
  C. Reassign information systems auditors to assist the information technology department in correcting the weaknesses.
  D. Evaluate statistics related to unplanned system outages, unauthorized access attempts, and denials of service to assess the effectiveness of corrections.
  A. Assess the adequacy of the action plan and monitor key dates and deliverables.

• Question 635:

  Which of the following tools or techniques is most appropriate to help an auditor identify the most commonly occurring problem in a given environment?

  A. Histogram.
  B. Pareto analysis.
  C. Run chart.
  D. Scatter diagram.
  A. Histogram.

• Question 636:

  An internal auditor discovered that equipment used to monitor air quality was not maintained according to the established maintenance schedule. If the issue is not addressed, the equipment may not provide accurate information on pollutant levels, which could result in regulatory sanctions and reputational damage. The auditor discussed the issue with both the manager in charge and the CEO, who explained that they understand the risk, but it has become too expensive to maintain the equipment as scheduled. In this situation, what should the chief audit executive do?

  A. Add value to the organization by taking initiative and implementing corrective actions to mitigate the identified risks.
  B. Communicate to the board the current situation, including the risk exposure to the organization.
  C. Discuss the matter with external auditors and request that they persuade management to address the issue.
  D. Contact the regulatory agency and inform them of the risk exposure.
  B. Communicate to the board the current situation, including the risk exposure to the organization.

• Question 637:

  According to IIA guidance, which of the following strategies would likely provide the most assurance to the chief audit executive (CAE) that the internal audit activity's recommendations are being acted upon?

  A. The CAE obtains a formal response from senior management regarding the corrective actions they plan to take to address the recommendations.
  B. The CAE develops a tracking system to monitor the status of engagement recommendations reported to management for action.
  C. The CAE communicates with impacted department managers to determine whether corrective actions have addressed engagement recommendations.
  D. The CAE works with the engagement supervisor to monitor the recommendations issued to management for corrective action.
  B. The CAE develops a tracking system to monitor the status of engagement recommendations reported to management for action.

• Question 638:

  A draft internal audit report that cites defficient conditions generally should be reviewed with which of the following groups?

  1.The client manager and her superior.

  2.Anyone who may object to the reports validity.

  3.Anyone required to take action.

  4.The same individuals who receive the final report.

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

• Question 639:

  According to IIA guidance, which of the following typically serves as the basis for an engagement work program?

  A. Past audit findings.
  B. Scope and audit objectives.
  C. Techniques and resources.
  D. Stakeholders' expectations.
  B. Scope and audit objectives.

• Question 640:

  An internal auditor was assigned to conduct an inventory control and stock room area engagement. During the audit, the auditor observed that there were some items that have a shelf life expiration date requirement based on a certificate of

  conformance received with the product. The certificates of conformance are kept on file in the inventory area office and the expiration date is verified at the time the item is taken from stock. The auditor reviewed the items in the stock room

  and also on the production floor for the expiration dates to see if there was any expired product. All items with a shelf life requirement were found to be within the expiration date requirement.

  Which of the following recommendations would be appropriate?

  A. Take no action, because all the items were within the expiration date requirement, and no corrective action is needed.
  B. Permit production staff the access to files where the certificates of conformity are kept, so they can choose the items with the closest expiration date.
  C. Determine the cost of inventory for the items that have a shelf life and apply a new policy regarding inventory levels to be maintained (i.e., minimums, maximums, reorder points etc.).
  D. Add to the product label a "use by date" line, enter the expiration at the time of receipt, and perform periodic inventory checks.
  D. Add to the product label a "use by date" line, enter the expiration at the time of receipt, and perform periodic inventory checks.