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IIA-CIA-PART2 · Question #40

The chief audit executive (CAE) of a small internal audit activity (IAA) plans to test conformance with the Standards through a quality assurance review. According to the Standards, which of the…

The correct answer is B. 2 and 4. According to IIA Standards, acceptable practices for testing conformance through a quality assurance review include conducting a self-assessment with independent validation (2) and arranging for reciprocal peer review with another CAE (4). These methods provide a cost…

Managing the Internal Audit Activity

Question

The chief audit executive (CAE) of a small internal audit activity (IAA) plans to test conformance with the Standards through a quality assurance review. According to the Standards, which of the following are acceptable practice for this review? 1. Use an external service provider. 2. Conduct a self-assessment with independent validation. 3. Arrange for a review by qualified employees outside of the IAA. 4. Arrange for reciprocal peer review with another CAE.

Options

  • A1 and 2
  • B2 and 4
  • C1, 2, and 3
  • D2, 3, and 4

How the community answered

(57 responses)
  • A
    11% (6)
  • B
    81% (46)
  • C
    4% (2)
  • D
    5% (3)

Explanation

According to IIA Standards, acceptable practices for testing conformance through a quality assurance review include conducting a self-assessment with independent validation (2) and arranging for reciprocal peer review with another CAE (4). These methods provide a cost- effective and practical approach to ensuring compliance with professional standards, especially for small internal audit activities. Using an external service provider (1) and arranging for a review by qualified employees outside of the IAA (3) are also valid, but self-assessment with independent validation and peer review are specifically highlighted for smaller IAAs.

Topics

#quality assurance review#self-assessment#external validation#Standards conformance

Community Discussion

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