IIA-CIA-Part2 Practice Test

When conducting research, which of the following is most important?

A.

Using computer databases or the Internet to find all relevant sources.

B.

Providing documentation of the reference sources.

C.

Presenting only those facts that support the conclusion.

D.

Presenting all contrary views to balance the opinion.

Productivity statistics are provided quarterly to a company's board of directors. An auditor checked
the ratios and other statistics in the four most recent reports. The auditor used scratch paper and
copies of the board reports to verify the accuracy of computations and compared the data used in
the computations with supporting documents. The auditor wrote a note describing this work for the
workpapers and then discarded the scratch paper and report copies. The auditor's note stated.
“The ratios and other statistics in the quarterly board reports were checked for the last four
quarters, and appropriate supporting documents were examined. All amounts appear to be
appropriate.”
In this situation:

A.

Four quarters is not a large enough sample on which to base a conclusion.

B.

The auditor's workpapers are not sufficient to facilitate an efficient review of the auditor's work.

C.

The auditor should have included the scratch paper in the workpapers.

D.

The auditor should have considered whether the information in the board report was compiled
efficiently

Which of the following is an example of the verification of internal documentary evidence?

A.

Reviewing a carrier's bill of lading.

B.

Reconciling a vendor's month-end statement.

C.

Vouching a copy of a sales invoice to receivables.

D.

Recalculating a customer's purchase order.

The balanced scorecard approach differs from traditional performance measurement approaches
because it adds which of the following measures?
I. Financial measures.
II. Internal business process measures.
III. Client satisfaction measures.
IV. Innovation and learning measures.

A.

I only

B.

II and IV only

C.

III and IV only

D.

II, III, and IV only

An auditor prepared a workpaper that consisted of a list of employee names and identification
numbers as well as the following statement:
“A statistical sample of 40 employee personnel files was selected to verify that they contain all
documents required by company policy 501 (copy attached). No exceptions were noted.”
The auditor did not place any audit verification symbols on this workpaper. Which of the following
changes would most improve the auditor's workpaper?

A.

Use of audit verification symbols to show that each file was examined.

B.

Removal of the employee names to protect their confidentiality.

C.

Justification for the sample size.

D.

Listing of the actual documents examined for each employee