Certified Internal Certification IIA-CIA-Part1 Sample Questions Reliable
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NEW QUESTION # 36
Which of the following best demonstrates internal auditors performing their work with proficiency?
- A. Internal auditors adhere to The IIA's Code of Ethics.
- B. Internal auditors meet with operational management at each phase of the audit process.
- C. Internal auditors complete a program of continuing professional development.
- D. Internal auditors work collaboratively with their engagement team.
Answer: D
NEW QUESTION # 37
To develop greater internal auditing expertise, the chief audit executive (CAE) has been assigning the same relatively inexperienced team of internal auditors to a series of engagements spanning several months. Is this practice consistent with the Standards?
- A. Yes. The experience will quickly build specialized skills and competencies.
- B. No. Teams should be comprised of both experienced and inexperienced auditors.
- C. No. The team should collectively possess the competencies appropriate for the engagements.
- D. Yes. The CAE is promoting the professional development of the staff.
Answer: C
NEW QUESTION # 38
According to the Standards, in today's technology and business environments, how much computer and information systems-related knowledge and skills must an internal auditor have to be effective in fulfilling his job responsibilities?
- A. Auditors must be proficient in data analysis and computer assisted audit techniques for their organization.
- B. Auditors must have an IT specialty in at least one of their organization's key information technology systems.
- C. Auditors must understand their organization's IT governance, risk, and control processes.
- D. Auditors must understand their organization's integrated test facilities and generalized audit software.
Answer: C
NEW QUESTION # 39
According to MA guidance, which of the following statements is true regarding an effective governance process?
- A. It relies on effective risk management when establishing the organization's risk appetite.
- B. It relies on the board to devise ways to communicate the effectiveness of internal controls.
- C. It stipulates that risk needs to be considered when making strategic decisions.
- D. It encourages strict segregation of the risk management and internal control processes.
Answer: C
NEW QUESTION # 40
An internal audit activity (IAA) provided assurance services for an activity it was responsible for during the preceding year.
As a result, which IIA Code of Ethics principle is presumed to be impaired?
- A. Competence.
- B. Flexibility.
- C. Objectivity.
- D. Independence.
Answer: C
Explanation:
Section: Volume E
NEW QUESTION # 41
Which of the following activities would be most likely to impair the objectivity of an internal auditor?
- A. Developing recommended controls for the use of a new information systems application.
- B. Assisting with the development and installation of a new information systems application.
- C. Benchmarking controls during the development of a new information systems application.
- D. Performing reviews of procedures for a new information systems application before it is installed.
Answer: B
Explanation:
Section: Volume D
NEW QUESTION # 42
An internal quality assessment of the internal audit activity should provide the chief audit executive with.
- A. Recommendations for improvement.
- B. Objectives for internal audit engagements.
- C. Confirmation of action on past audit recommendations.
- D. Appraisals of internal audit staff performance.
Answer: A
Explanation:
Section: Volume B
NEW QUESTION # 43
An internal auditor is reviewing a new automated human resources system. The system contains a table of pay rates which are matched to the employee job classifications. The best control to ensure that the table is updated correctly for only valid pay changes would be to:
- A. Limit access to the data table to management and line supervisors who have the authority to determine pay rates.
- B. Ensure that adequate edit and reasonableness checks are built into the automated system.
- C. Require that all pay changes be signed by the employee to verify that the change goes to a bona fide employee.
- D. Require a supervisor in the department, who does not have the ability to change the table, to compare the changes to a signed management authorization.
Answer: D
NEW QUESTION # 44
The main reason to establish internal controls in an organization is to:
- A. Provide reasonable assurance on the achievement of objectives.
- B. Ensure the accuracy, reliability, and timeliness of information.
- C. Encourage compliance with policies and procedures.
- D. Safeguard the resources of the organization.
Answer: A
Explanation:
Section: Volume B
NEW QUESTION # 45
According to NA guidance, which of the following practices by the chief audit executive (CAE) best enhances the organizational independence of the internal audit activity?
- A. CAE meets privately with the board at least annually,
- B. CAE reports to the board regarding audit staff performance evaluation and compensation.
- C. CAE meets privately with the CEO at least annually.
- D. CAE reviews and approves the annual audit plan,
Answer: B
NEW QUESTION # 46
Which of the following is an example of corruption?
- A. Requesting reimbursement for overstated travel and entertainment expense amount
- B. Demanding payment from a vendor for decisions made in the vendor's favor
- C. Misstating realized foreign currency transaction gains or losses
- D. Recognizing revenue up front rather than over a contract's life to inflate revenue for the current period
Answer: B
NEW QUESTION # 47
A multinational organization has asked the internal audit activity to assist in setting up the organization's risk management system. The chief audit executive (CAE) agrees to take on the engagement as a consultant.
Which of the following tasks is appropriate for the CAE to undertake?
- A. Determine the number of significant risks for management to report to the board.
- B. Set risk indicators and mitigation plans for management to implement.
- C. Coordinate and facilitate risk workshops for management to attend.
- D. Establish the degree of risk appetite for management to accept.
Answer: A
NEW QUESTION # 48
A subsidiary of the organization was preparing for an initial public offering (IPO). Af the request of the audit committee, the chief audit executive (CAE) and all senior audit staff were actively involved in the process by helping collect and validate financial data, conducting assessments, and participating in meetings with IPO advisors. Six months later, it became obvious that the IPO had to be canceled. Newly appointed audit committee members requested an assurance engagement that v/ould assess the IPO preparation process. Which of the following would be the best course of action for the chief audit executive (CAE) to take?
- A. The CAE should disclose objectivity limitations to the audit committee and suggest alternatives, such as outsourcing the engagement.
- B. The engagement should be undertaken by audit assistants and other junior staff members who were not involved in the IPO process.
- C. The CAE should reject the assignment, as such engagements are beyond the scope of auditors who are usually not familiar with root cause analysis methodology.
- D. The decision to involve auditors in the IPO was made by former audit committee members; therefore, the CAE is not responsible and can proceed with the new assignment.
Answer: A
NEW QUESTION # 49
Which of the following best describes the trait that an internal auditor exercises when considering the extent of work needed to achieve the engagement's objectives?
- A. Due professional care.
- B. Proficiency.
- C. Objectivity.
- D. Independence.
Answer: A
NEW QUESTION # 50
Which of the following lists these audit steps in the correct chronological order?
I.Create the engagement work program.
II.
Conduct the exit conference.
III.
Perform fieldwork.
IV.
Schedule the audit engagement.
Issue a summary report of audit findings.
- A. I, IV, II, III, V.
- B. IV, I, III, II, V.
- C. I, IV, III, II, V.
- D. IV, III, I, V, II.
Answer: B
NEW QUESTION # 51
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Ace IIA IIA-CIA-Part1 Certification with Actual Questions Jul 11, 2023 Updated: https://www.actualpdf.com/IIA-CIA-Part1_exam-dumps.html
Certified Internal Certified Official Practice Test IIA-CIA-Part1: https://drive.google.com/open?id=1wzQyVnVbuCKuDa4E7FuYlMFIkzEpaUUB
