IIA IIA-CIA-Part1 - Certified Internal Auditor - Part 1,The Internal Audit Activity's Role in Governance,Risk,and Control Exam
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Total 1175 questions
Question #6 (Topic: Volume A)
According to the Standards, the organizational status of the internal audit activity:
A. Must be sufficient to permit the accomplishment of its audit responsibilities.
B. Is best when the reporting relationship is direct to the board of directors.
C. Requires the board's annual approval of the audit schedules, plans, and budgets.
D. Is guaranteed when the charter specifically defines its independence.
Answer: A
Question #7 (Topic: Volume A)
A high-volume retailer of consumer goods has used point-of-sale data to record sales and update inventory records for several years. When price changes are
scheduled, corporate headquarters downloads a price change file to a computer server system at each store. Each store's assistant manager is responsible for
checking the server for downloads and running the program that updates the store's price file at the authorized price update time. In comparison with having
headquarters initiate the price update centrally, this approach to price updating will most likely:
scheduled, corporate headquarters downloads a price change file to a computer server system at each store. Each store's assistant manager is responsible for
checking the server for downloads and running the program that updates the store's price file at the authorized price update time. In comparison with having
headquarters initiate the price update centrally, this approach to price updating will most likely:
A. Decrease the risk that customers will be undercharged consistently for sales items.
B. Decrease the risk that item prices will sometimes be inaccurate.
C. Increase the risk that customers will be undercharged consistently for sales items.
D. Increase the risk that item prices will sometimes be inaccurate.
Answer: D
Question #8 (Topic: Volume A)
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:
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. 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.
C. Ensure that adequate edit and reasonableness checks are built into the automated system.
D. Require that all pay changes be signed by the employee to verify that the change goes to a bona fide employee.
Answer: B
Question #9 (Topic: Volume A)
According to the International Professional Practices Framework, internal auditors should possess which of the following competencies?
I. Proficiency in applying internal auditing standards, procedures, and techniques.
II. Proficiency in accounting principles and techniques.
III. An understanding of management principles.
IV. An understanding of the fundamentals of economics, commercial law, taxation, finance, and quantitative methods.
I. Proficiency in applying internal auditing standards, procedures, and techniques.
II. Proficiency in accounting principles and techniques.
III. An understanding of management principles.
IV. An understanding of the fundamentals of economics, commercial law, taxation, finance, and quantitative methods.
A. I only
B. II only
C. I and III only
D. I, III, and IV only
Answer: D
Question #10 (Topic: Volume A)
Which of the following is not an appropriate role for internal auditors after a disaster occurs?
A. Monitor the effectiveness of the recovery and control of operations.
B. Correct deficiencies of the entity's business continuity plan.
C. Recommend future improvements to the entity's business continuity plan.
D. Assist in the identification of lessons learned from the disaster and the recovery operations.
Answer: B
