IIA-CIA-Part1 Practice Test

An organization that outsources much of its internal audit work to an external service
provider is planning for an external quality assessment. Which of the following options
would accomplish this task and be in conformance with the Standards?choose one correct option

A.

Engaging an external industry associate that performed a similar review for a supplier of
the organization.

B.

Selecting a team from an independent entity that previously employed the chief audit
executive of the organization.

C.

Using a team under the direction of the organization's chief audit executive,and
obtaining validation from a former manager of the internal audit activity.

D.

Using the same external service provider because of its competency and experience
with the organization.

Within the internal audit process,which of the following is not a significant advantage of
employing a control model?

A.

It provides guidance on identifying control deficiencies for each internal audit engagement.

B.

It recognizes the need to evaluate both hard and soft controls.

C.

It assists internal auditors in assessing the achievement of management's objectives.

D.

It validates the findings and recommendations of the internal audit.

Company A has a formal comprehensive corporate code of ethics while company B does
not. Which of the following statements regarding the existence of the code of ethics in
company A can be logically inferred?
1.Company A exhibits a higher standard of ethical behavior than does company B.
2.Company A has established objective criteria by which an employee's actions can be
evaluated.
3.The absence of a formal corporate code of ethics in company B would prevent a
successful audit of ethical behavior in that company.

A.

2only

B.

3only

C.

1 and 2only

D.

2 and 3only

Which of the following is the primary advantage of using a computer assisted audit
technique (CAAT) to provide a higher level of assurance?

A.

CAATs can select an appropriate sample size for testing and thus provide higher level of
assurance.

B.

CAATs are more objective than the traditional methods in interpreting the results.

C.

CAATs can examine the whole of population of transactions,rather than a sample,in
order to identify exceptions and trends.

D.

CAATs can process the results faster and thus give a higher level of assurance.

Which of the following items of evidence is most valid to support a finding that a public
utility's repair crews are sometimes required to work under unsafe conditions?

A.

Videotapes of repair crews working in a situation that is unsafe.

B.

Audio taped testimonials from repair crew members who were required to work under unsafe conditions.

C.

Reports showing increases in the number of days of sick leave for individuals on repair crews.

D.

Written and signed descriptions from repair crew members of the unsafe conditions that
they have had to endure.