Online Access Free IIA-CIA-Part3 Practice Test

Which approach should a chief audit executive take when preparing the internal audit plan?

• A.Eliminate auditable units not mandated to be audited by laws and regulations applicable to the organization
• B.Evaluate auditable units based on senior management's information about risks
• C.Organize the auditable units within the organization into an audit universe to facilitate risk assessment
• D.Select auditable units within the organization based on monetary values

The internal audit function for a large organization has commenced this year's scheduled accounts payable audit. The annual external audit for the organization is currently being planned. Can the external auditors place reliance on the work performed by the internal audit function?

• A.No, the external auditors should do their own substantive testing on accounts payable
• B.Yes, if an external audit manager is assigned to lead the internal audit team
• C.Yes, if they believe that the internal audit is going to be performed with due competence and objectivity
• D.No, the internal audit function should not share information relating to its work with external parties

Which of the following controls would enable management to receive timely feedback and help mitigate unforeseen risks?

• A.Develop standard methods for performing established activities.
• B.Require the grouping of activities under a single manager.
• C.Assign each employee a reasonable workload.
• D.Measure product performance against an established standard.

In accounting, which of the following statements is true regarding the terms debit and credit?

• A.Debit indicates the right side of an account and credit the left side
• B.Credit indicates the right side of an account and debit the left side.
• C.Debit means an increase in an account and credit means a decrease.
• D.Credit means an increase in an account and debit means a decrease

To achieve conformance with the Global Internal Audit Standards, the chief audit executive must include which of the following activities in the quality assurance and improvement program (QAIP)?

• A.Report the results of the QAIP to the board
• B.Assess Standards conformance for each individual assurance engagement
• C.Require board oversight of the QAIP
• D.Conduct a self-assessment at least once every five years