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IIA-CIA-PART2 · Question #398

During the review of an organization's retail fraud deterrence program, an employee mentions that an expensive fraud surveillance information system is rarely used. The internal auditor concludes…

The correct answer is A. Sufficiency. In internal auditing, evidence must meet certain criteria to support conclusions and recommendations. According to IIA guidance, evidence should be sufficient, reliable, relevant, and useful. In this scenario, the internal auditor concludes that additional staff are needed to…

Performing the Engagement

Question

During the review of an organization's retail fraud deterrence program, an employee mentions that an expensive fraud surveillance information system is rarely used. The internal auditor concludes that additional staff are required to properly utilize the system to its full potential. According to IIA guidance, which criteria for evidence is most lacking to reach this conclusion?

Options

  • ASufficiency.
  • BReliability.
  • CRelevancy.
  • DUsefulness.

How the community answered

(38 responses)
  • A
    42% (16)
  • B
    8% (3)
  • C
    16% (6)
  • D
    34% (13)

Explanation

In internal auditing, evidence must meet certain criteria to support conclusions and recommendations. According to IIA guidance, evidence should be sufficient, reliable, relevant, and useful. In this scenario, the internal auditor concludes that additional staff are needed to fully utilize a fraud surveillance system based on an employee's statement. However, the conclusion may lack sufficient evidence to support it.

Topics

#evidence sufficiency#fraud deterrence#audit conclusions#evidence criteria

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