IIA-CIA-Part1 Practice Test

An employee who recently transferred into the internal audit activity has been assigned to
audit the accounts payable system.
Which function,if previously performed by the auditor,would represent a conflict of interest?

A.

Monitoring the allowance for doubtful accounts.

B.

Writing procedures for the handling of duplicate payments.

C.

Signing timekeeping cards for subordinates.

D.

Reviewing shipping documents for accuracy.

An auditor is using audit software to check inventory accuracy. Which of the following
would be an indicator of poor input edit controls?

A.

Negative quantities on hand.

B.

Total dollar values of zero for some parts.

C.

Alpha characters in the field for order lead time.

D.

Reorder levels set too high.

Which of the following represents the correct order of the risk management process?

A.

Resource allocation,risk management metrics,risk assessment,post-mortem
analysis,effective communication.

B.

Risk management metrics,resource allocation,risk assessment,effective
communication,post-mortem analysis.

C.

Risk assessment,resource allocation,risk governance and reporting,post-mortem
analysis,feedback.

D.

Resource allocation,risk monitoring,risk assessment,feedback,post-mortem analysis.

Which of the following components influences the risk consciousness of an organization's
people and is the basis for all other components of enterprise risk management?

A.

Objective setting.

B.

Information and Communication.

C.

Risk Assessment.

D.

Internal Environment.

Which of the following is not an appropriate control related to sales in a manufacturing company?

A.

Customers' orders are recorded promptly.

B.

Goods shipped are matched with valid customer orders.

C.

Goods returned are inspected for damage by the sales department and then entered into inventory.

D.

Credit department approval is required for credit sales transactions.