IIA-CIA-PART1 Web TestEngine Demo

Q17 Single choice

Senior management at a financial institution has received allegations of fraud at its derivatives trading desk and has asked the internal audit activity to investigate and issue a report concerning the allegations. The internal audit activity has not yet developed suficient proficiency regarding derivatives trading to conduct a thorough fraud investigation in this area.

Which of the following courses of action should the chief audit executive (CAE) take to comply with the Standards?

A
Engage the former head of the institution's derivatives trading desk to perform the investigation and submit a report with supporting documentation to the CAE.
B
Request that senior management allow a delay of the fraud investigation until the internal audit activity's on-staff certified fraud examiner is able to obtain the appropriate training regarding the analysis of derivatives trading.
C
Request that senior management exclude the internal audit activity from the investigation completely and instead contract with an external certified fraud examiner with derivatives experience to perform all aspects of the investigation and subsequent reporting.
D
Contract with an external certified fraud examiner with derivatives experience to perform the investigation and subsequent reporting, with the chief audit

IIA-CIA-PART1 Web TestEngine demo