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IIA Essentials of Internal Auditing Sample Questions (Q125-Q130):

NEW QUESTION # 125
Which of the following activities aligns with The IIA's Core Principles for the Professional Practice of Internal Auditing?

A. Due to limited resources, internal auditors prioritize assurance on internal controls and risk management and exclude evaluating governance processes, which are deemed outside of their core responsibilities
B. Final reports from consulting engagements show the summary of findings, and the internal auditor's advice is clearly distinct and separate from management's decisions
C. Internal auditors rotate through operations and management positions then perform audit engagements on these areas to ensure timely application of their knowledge
D. The chief audit executive reports to senior management for compensation decisions and communications of audit results to the board

Answer: B

Explanation:
According to The IIA's Core Principles for the Professional Practice of Internal Auditing, one of the key principles is that internal auditors should be objective and free from undue influence (independence). The correct option that aligns with these principles is B, where final reports from consulting engagements provide a summary of findings and ensure that the auditor's advice is distinctly separated from management's decisions. This separation supports the principle of objectivity and avoids conflicts of interest, which is fundamental in upholding the integrity and independence of the internal audit function.References:
* The IIA's Core Principles for the Professional Practice of Internal Auditing

NEW QUESTION # 126
Which of the following is not an appropriate role of the internal audit activity in governance activities?

A. Monitor compliance with the organization's ethics policies.
B. Support the board in enterprise-wide risk assessment.
C. Discuss areas of significant risk.
D. Ensure the timely implementation of audit recommendations.

Answer: D

NEW QUESTION # 127
When reviewing management reports to the board of directors, the internal audit activity should:

A. Maintain supporting documentation for the management reports.
B. Evaluate the process used to prepare the management reports.
C. Compare to prior-period reports for consistency.
D. Tie all financial numbers in the reports to the general ledger.

Answer: B

NEW QUESTION # 128
The collaborating style for conflict resolution, where the parties promote assertiveness and work together to develop a mutually beneficial solution, is best used in which of the following situations?

A. Parties are confident of the solution and are ready to defend it.
B. There is a high level of trust among the parties.
C. The issue is more important to one party than the others.
D. Resolution is time sensitive and a quick decision is necessary.

Answer: B

NEW QUESTION # 129
Which competency is required of all staff internal auditors prior to the commencement of an IT audit?

A. The ability to provide an explanation on the risk profile of the organization to the board and senior management.
B. The ability to assess IT governance.
C. The ability to assess the potential for fraud risk and identifying common types of fraud associated with the engagement.
D. The ability to ensure that proposals for improvements to internal controls are balanced with organizational objectives and capabilities.

Answer: C

Explanation:
Prior to the commencement of an IT audit, the ability to assess the potential for fraud risk and identifying common types of fraud associated with the engagement is a required competency for internal auditors.
Understanding the specific fraud risks inherent in IT systems and processes is essential for effectively auditing these areas, particularly in detecting and preventing fraud.
IIA's Competency Framework for Internal Auditors

NEW QUESTION # 130
......

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IIA-CIA-Part1 Reliable Exam Vce, IIA-CIA-Part1 Free Sample Questions

IIA-CIA-Part1 Free Sample Questions - Reliable IIA-CIA-Part1 Exam Book

IIA Essentials of Internal Auditing Sample Questions (Q125-Q130):

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