IIA-CIA-PART1 · Question #56
According to IIA guidance, which of the following statements is true with regard to the chief audit executive's (CAE's) responsibility for conducting a self-assessment of the internal audit…
The correct answer is B. 1 and 4 only. Option B (statements 1 and 4) is correct because IIA Standard 1312 explicitly permits a self-assessment with independent external validation (SAIV) as an acceptable alternative to a full external assessment, and the SAIV process requires an independent external reviewer to…
Question
According to IIA guidance, which of the following statements is true with regard to the chief audit executive's (CAE's) responsibility for conducting a self-assessment of the internal audit activity? 1 The CAE should select an independent reviewer or review team to perform sufficient tests of the self-assessment to validate the results 2 The CAE should validate results by engaging experienced audit professionals from a separate internal audit activity outside of the organization to reperform all of the tests conducted for the assessment 3. The CAE should select independent, nonaudit professionals who are knowledgeable about the organization and the industry in which it operates to assist with performing the self-assessment 4. The CAE may consider performing a self-assessment with independent external validation in Iieu of performing a full external assessment
Options
- A1 and 2 only.
- B1 and 4 only
- C1, 2, and 3
- D3 and 4
How the community answered
(31 responses)- A3% (1)
- B77% (24)
- C13% (4)
- D6% (2)
Explanation
Option B (statements 1 and 4) is correct because IIA Standard 1312 explicitly permits a self-assessment with independent external validation (SAIV) as an acceptable alternative to a full external assessment, and the SAIV process requires an independent external reviewer to perform sufficient tests to validate the self-assessment results - exactly what Statement 1 describes.
Statement 2 is wrong because it requires the validator to "reperform all of the tests" - IIA guidance only requires sufficient tests to validate results, not a complete re-execution of every procedure. Additionally, using auditors from another internal audit activity (a peer review model) is a separate approach and does not describe the SAIV process correctly.
Statement 3 is wrong on two counts: IIA guidance requires external validators to be qualified internal audit professionals with demonstrated competency - not generic "nonaudit professionals." Also, selecting someone specifically knowledgeable about the organization raises independence concerns, whereas the validator must be independent and objective.
Memory tip: Think of SAIV as "self-do, outside-spot-check." The team does the work themselves (self-assessment), and an outside, qualified auditor validates it by spot-checking with sufficient - not all - tests. If an answer says "all tests" or "nonaudit people," it's a distractor.
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