IIA-CIA-Part1 Free Practice Test

Which of the following best demonstrates the authority of the internal audit activity?

1. A. Suggesting alternatives to decision makers.
2. B. Improving the integrity of information.
3. C. Determining the scope of internal audit services.
4. D. Achieving engagement objectives.

Correct Answer: C

The manager for an organization's accounts payable department resigned her post in that capacity. Three months later, she was recruited to the internal audit activity and has been working with the audit team for the last eight months. Which of the following assignments would the newly hired internal auditor be able to execute without any impairments to independence or objectivity?

1. A. An operations audit of the accounts payable department.
2. B. A consulting engagement related to a new accounts payable optimization initiative.
3. C. A review of the employees' sports club finances, which are overseen by the chief audit executive.
4. D. An assurance review for a sales program on which she previously provided consultation.

Correct Answer: C

Management is developing and implementing a risk and control framework for use throughout the organization. Which of the following elements should be included in the organization's control framework?
* 1. Appropriate levels of authority and responsibility.
* 2. Supervision of staff and appropriate review of work.
* 3. The seniority of management in the organization.
* 4. The ability to trace each transaction to an accountable and responsible individual.

1. A. 1,2, and 3.
2. B. 1.2, and 4.
3. C. 1.3, and 4.
4. D. 2, 3, and 4.

Correct Answer: D

Management would like to self-assess the overall effectiveness of the controls in place for its 200-person manufacturing department. Which of the following client-facilitated approaches is likely to be the most efficient way to accomplish this objective?

1. A. Workshops.
2. B. Surveys.
3. C. Interviews.
4. D. Observation.

Correct Answer: B

Which of the following are generally recognized as essential elements of a corporate social responsibility program?

1. A. Human rights and the environment.
2. B. Organizational governance and financial reporting.
3. C. Fair operating practices and government regulation.
4. D. Consumer issues and return on investment.

Correct Answer: A