Free Practice IIA IIA-CIA-Part1 Exam Questions 2025

Stay ahead with 100% Free Essentials of Internal Auditing IIA-CIA-Part1 Dumps Practice Questions

Page: 1 / 191

Total 951 Questions | Updated On: Jan 26, 2025

Add To Cart

Question 1

Which of the following is a consulting service the internal audit activity can perform with respect to the organization’s risk management?

A : Delivering assurance on the risk management system.

B : Facilitating risk assessment workshops.

C : Evaluating principal risk reporting.

D : Deciding on the appropriate risk response.

Answer: B

Question 2

Which of the following control methods is effective in reducing the risk of purchasing-scheme fraud?

1. Periodically reviewing the vendor list for unusual vendors and addresses.

2. Segregating duties for amount purchasing, receiving, shipping, and accounting.

3. Validating sequential integrity of purchase orders.

4. Verifying the validity of invoices with post office box addresses.

A : 1 and 2 only

B : 3 and 4 only

C : 1, 2, and 4 only

D : 1, 2, 3, and 4

Answer: B

Question 3

The internal audit activity is planning a procurement audit and needs to obtain a thorough understanding of the subcontracting process, which can involve multiple individuals in multiple countries.

Which of the following internal audit tools would be most effective to document the process and the key controls?

A : Internal control checklist.

B : Procurement employee survey.

C : Cross-functional flow chart.

D : Segregation of duties matrix.

Answer: C

Question 4

Using the internal audit department to coordinate regulatory examiners' efforts is beneficial to the organization because internal auditors can:

A : Influence regulatory interpretation of law to better match corporate practice.

B : Recommend changes to the scope of the regulatory examiners' review.

C : Perform fieldwork for the regulatory examiners and thus shorten the regulatory examiners' review.

D : Supply evidence of adequate compliance testing through internal audit workpapers and reports.

Answer: D

Question 5

A company's chief audit executive determines that the internal audit staff does not have the requisite skills to conduct an audit of the financial derivatives area.

Which of the following actions would be the least acceptable?

A : Notify the audit committee of the problem and consult with them regarding outsourcing the audit engagement to a qualified external auditing firm.

B : Determine the requisite knowledge needed and obtain the proper training for auditors if such training is available within the appropriate time framework outlined by the audit committee.

C : Notify the audit committee of the problem and assign the most competent auditors to perform the audit engagement.

D : Employ the skills of a financial derivatives expert to consult on the project, and supplement the consulting with a local seminar on financial derivatives.

Answer: C

Page: 1 / 191

Total 951 Questions | Updated On: Jan 26, 2025

Add To Cart