Free IIA IIA-CIA-Part1-3P Exam Questions

Become IIA Certified with updated IIA-CIA-Part1-3P exam questions and correct answers

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Total 951 Questions | Updated On: Nov 18, 2024

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Question 1

An internal auditor is reviewing the accounts receivable when she discovers account balances more than three years old. The auditor was previously supervising the area during this time, and she subsequently advises the chief audit executive (CAE) of a potential conflict.

Which of the following is the most appropriate course of action for the CAE to take?

A : place the auditor with another audit staff member.

B : ntinue with the present auditor, as more than one year has passed.

C : thdraw the audit team and outsource the financial audit of the division

D : rk with the division's management to resolve the situation.

Answer: A

Question 2

An internal auditor is assessing the risk of employees falsifying reimbursement requests for business-related meals or travel. Which of the following procedures would the internal auditor most likely perform first?

A : view the supplemental documentation provided for a sample of reimbursement requests.

B : terview the payroll/accounting supervisor to determine what controls exist to prevent fraud.

C : termine whether or not the payroll/accounting department has been subject to regular review.

D : tablish a flowchart of the payroll/accounting functions that include any controls currently in place.

Answer: D

Question 3

The audit committee is concerned that the small size of the internal audit activity (IAA) makes it impractical to achieve full conformance with the Standards. To address this concern, which of the following actions is most appropriate for the CAE to take?

A : CAE should agree with the audit committee and implement only those standards appropriate to the size of the IAA.

B : CAE should request the audit committee to review the Standards to identify specifically which are creating the greatest concern.

C : CAE should seek sufficient funding to increase audit resources to meet the minimum requirements of the Standards.

D : CAE should explain that conformance with the Standards is essential and not dependent upon the size of the IAA.

Answer: D

Question 4

Which of the following options describes the reason that conformance with The IIA’s Code of Ethics is mandatory for internal auditors?

A : Ethical compliance provides the basis for stakeholder confidence in the competence of the internal audit activity and of professional internal auditors.

B : Ethical compliance is necessary for internal auditors and the internal audit activity to accept responsibility for providing absolute assurance about the organization’s risk management.

C : Ethical compliance provides the basis for stakeholder trust and confidence in the validity of the profession of internal auditing and the internal audit activity’s findings.

D : The internal audit activity’s ethical compliance sets the tone for the ethical compliance by the organization’s board, management, and employees.

Answer: C

Question 5

To enhance the independence of both the internal and external audit functions, audit committees should be composed of:

A : rotating subcommittee of the board of directors or its equivalent.

B : combination of external members of the board of directors and company officers.

C : mbers from all important constituencies, specifically including representatives from banking, labor, regulatory agencies, shareholders, and officers.

D : ly external members of the board of directors or other similar oversight committees.

Answer: D

Page: 1 / 191

Total 951 Questions | Updated On: Nov 18, 2024

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