IIA IIA-CRMA-ADV Online Practice Questions and Exam Preparation

IIA IIA-CRMA-ADV Online Questions & Answers

• Question 121:

  What type of risk management strategy is being employed when an organization installs two firewalls to provide protection from unauthorized access to the network?

  A. Diversifying the risk that network access will not be available to legitimate, authorized users.
  B. Accepting the risk that there may be attempts at unauthorized access to the network.
  C. Avoiding the risk of having a direct network connection to un-trusted networks.
  D. Sharing the risk that either firewall could be compromised by hackers.
  A. Diversifying the risk that network access will not be available to legitimate, authorized users.

• Question 122:

  In which of the following functions would fraud be most likely to occur?

  A. Maintaining custody of inventory records.
  B. Collecting payments on accounts.
  C. Approving changes to employee records.
  D. Preparing customer statements.
  B. Collecting payments on accounts.

• Question 123:

  A new director was hired to lead the internal audit activity at a small start-up company. Which of the following assignments would impair the director's independence?

  A. Preparing the financial statements for the company's defined contribution plan.
  B. Performing a pre-implementation review of the company's payroll application.
  C. Providing the COBIT framework as a possible IT management tool.
  D. Reviewing the company's policy for foreign currency translation adjustments for compliance with accounting standards.
  A. Preparing the financial statements for the company's defined contribution plan.

• Question 124:

  In the area of business acumen, which of the following competencies would be the sole responsibility of an internal audit staff member?

  A. Maintaining industry-specific knowledge appropriate to the organization.
  B. Assessing how IT contributes to organization objectives, risks, and relevance to audit.
  C. Maintaining technical aspects of accounting standards and reporting processes.
  D. Understanding regulatory and legal framework and assessing its relevance.
  D. Understanding regulatory and legal framework and assessing its relevance.

• Question 125:

  Management would like to self-assess the overall effectiveness of the controls in place for its 200-person manufacturing department. Which of the following client-facilitated approaches is likely to be the most efficient way to accomplish this objective?

  A. Workshops.
  B. Surveys.
  C. Interviews.
  D. Observation.
  B. Surveys.

• Question 126:

  According to the COSO enterprise risk management (ERM) framework, which of the following is not part of the new paradigm in ERM?

  A. Assessing the risk factors.
  B. Aligning risk appetite and strategy.
  C. Enhancing risk response decisions.
  D. Reducing operational surprises and losses.
  A. Assessing the risk factors.

• Question 127:

  The chief audit executive (CAE) has assigned an internal auditor to an upcoming engagement. Which of the following requirements would most likely indicate that the internal auditor was assigned to an assurance engagement?

  A. The assigned internal auditor must determine the objectives, scope, and techniques of the engagement.
  B. The CAE must personally obtain the needed skills, knowledge, or other competencies if the internal auditor does not have them.
  C. The assigned internal auditor must not assume management responsibilities while performing the engagement.
  D. The assigned internal auditor must maintain objectivity while performing the engagement.
  A. The assigned internal auditor must determine the objectives, scope, and techniques of the engagement.

• Question 128:

  An internal auditor needs to recommend a policy element to be included in an organization's code of ethics. Which of the following recommendations would be most effective?

  A. Ethics should vary with local customs in the organization's foreign operations.
  B. Whistleblowing should be discouraged because it can cause distrust among employees.
  C. Ethical behavior should be incorporated into performance evaluations.
  D. Senior management should be granted specific exemptions to the code of ethics.
  C. Ethical behavior should be incorporated into performance evaluations.

• Question 129:

  A government agency's policy states that board members' travel and hospitality expenses must be audited annually. Which of following people or groups is most appropriate to perform this audit?

  A. The government's independent auditor.
  B. The external auditors from an accounting firm.
  C. The internal audit activity.
  D. The agency's chief compliance officer.
  A. The government's independent auditor.

• Question 130:

  During an audit, the client questions the internal audit activity's authority to perform procedures over fraud allegations. According to HA guidance, which of the following would provide the most relevant support to respond to the client's concerns?

  A. Definition of Internal Auditing.
  B. MA Standards.
  C. Internal audit charter.
  D. The IIA's Code of Ethics.
  C. Internal audit charter.