IIA-CIA-PART2 Exam Questions

During an engagement in one of the subsidiaries of an organization, an internal auditor noted the following in the workpapers: "As a subsidiary of a multinational organization in t...

How should an internal auditor approach preparing a detailed risk assessment during engagement planning?

An organization owns vehicles that are kept off-site by employees to pick up and deliver orders. An internal auditor selects a specific vehicle from the fixed asset register for te...

An internal audit report includes a recommendation to remove inappropriate user access to an IT application. Which of the following does the recommendation represent?

An internal auditor used a risk and control matrix to prepare a work program for testing a software release. During the engagement planning stage, he tested the design of the relea...

According to the Standards, which of the following is true regarding the auditor's inclusion of management's satisfactory performance in the final audit report?

After completing an assurance engagement, the chief audit executive (CAE) concludes that management has accepted a level of risk that may be unacceptable to the organization. What...

An internal audit manager assigns an audit team to test purchase transactions by selecting a sample from transactions processed by each of the three procurement officers. Which of...

An internal auditor reviewed bank reconciliations prepared by management of the area under review. The auditor noted that the bank statements attached did not have the bank heading...

Which of the following would be most likely found in an internal audit procedures manual?

Which of the following represents a ratio that measures short term debt-paying ability?

Which type of engagement would be the most appropriate to assess the maturity and rigor of the organizationwide risk management process of a target entity that management is consid...

Below is a flowchart detailing an organization's bank reconciliation process. Which of the following conclusions can be drawn from the flowchart?

Upon completing a follow-up audit engagement, the chief audit executive (CAE) noted that management has not implemented any mitigation measures to address the high risks that were...

During an entity-level controls assessment, internal auditors deploy an internal control questionnaire to test the controls. Which of the following is a major drawback of this test...

During the preliminary survey of the procurement department, an internal auditor noted a major control weakness in the organization's ordering and receiving process. According to I...

An organization does not have a formal risk management function. According to the Standards, which of the following are conditions where the internal audit activity may provide ris...

Which of the following is the primary weakness of internal control questionnaires (ICQs)?

Following an IT systems audit, management agreed to implement a specific control in one of the IT systems. After a period, the internal auditor followed up and learned that managem...

When reviewing workpapers, engagement supervisors may ask for additional evidence or clarification via review notes. According to IIA guidance, which of the following statements is...

Flowcharts are useful during audit planning because they contain information that may help internal auditors with which of the following?

Which of the following activities demonstrates an example of the chief audit executive performing residual risk assessment?

When determining the level of staff and resources to be dedicated to an assurance engagement, which of the following would be the most relevant to the chief audit executive?

An internal audit activity plans its engagements based on an organization-wide risk assessment. According to IIA guidance, which of the following statements is true regarding the r...

According to IIA guidance, which of the following describes the primary reason the chief audit executive (CAE) should actively network and build relationships with senior managemen...

According to IIA guidance, which of the following statements is true regarding engagement planning?

An organization's healthcare insurance costs have been rising approximately 10 percent per year for several years. Which of the following analytical review procedures would best ev...

The internal audit activity plans to assess the effectiveness of management's self-assessment activities regarding the risk management process. Which of the following procedures wo...

According to IIA guidance, which of the following objectives was most likely formulated for a non- assurance engagement?

An audit reveals that a manager's spouse is receiving paychecks, but is not employed by the organization. According to IIA guidance, which of the following actions should the inter...

Senior IT management requests the internal audit activity to perform an audit of a complex IT area. The chief audit executive (CAE) knows that the internal audit activity lacks the...

Which of the following is the advantage of using internal control questionnaires (ICQs) as part of a preliminary survey for an engagement?

Which of the following would help the internal audit activity assess compliance with the organization's standard operating procedures for bank deposits during a preliminary survey?

According to IIA guidance, which of the following best describes the purpose of a planning memorandum for an audit engagement?

The internal audit activity is planning an assurance engagement for a foreign subsidiary. According to IIA guidance, which of the following would be included in the preliminary com...

Which of the following best describes why an internal audit activity would consider sending written preliminary observations to the audit client?

An internal auditor completed a consulting engagement covering a recent advertising campaign. The audit client asked the auditor to forward a copy of the report to one of the three...

The internal audit activity is currently working on several engagements, including a consulting engagement on the management process in the human resources department. Which of the...

An internal auditor performed a test of controls and found that a statistically selected representative sample of recorded transactions within the account receivables ledger had an...

According to IIA guidance, how should an internal auditor apply any relevant information obtained from an internal consulting engagement during a related internal audit engagement?

Which of the following best describes the guideline for preparing audit engagement workpapers?

Which of the following is most likely the subject of a periodic report from the chief audit executive to the board?

A bakery chain has a statistical model that can be used to predict daily sales at individual stores based on a direct relationship to the cost of ingredients used and an inverse re...

Which of the following approaches to understanding business processes is conducted from a broad organizational perspective and has the greatest risk of overlooking processes that a...

An internal auditor has discovered that duplicate payments were made to one vendor. Management has recouped the duplicate payments as a corrective action. Which of the following de...

Which of the following is most appropriate for internal auditors to do during the internal audit recommendations monitoring process?

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 au...

Which of the following is an advantage of utilizing an external fraud specialist in a suspected fraud investigation?

A senior IT auditor is performing an audit of inventory valuation. The auditor misinterprets the sampling results. Which of the following best describes this situation?

Which type of assurance engagement is conducted to determine whether a process or area is performing as intended, accomplishing its objectives, and doing so in an efficient and eco...