Free Demo Questions

Test Online Free IIA IIA-CIA-Part1 Exam Questions and Answers

Practice a live sample before buying full access. This page keeps the free IIA-CIA-Part1 question set organized by page so visitors and search engines can reach the canonical -questions.html URL directly.

Updated Nov 07, 2024 116 Questions 8 Pages

Get IIA-CIA-Part1 Full Access

Question 31 Selectable Answer

In an assurance engagement focused on the adequacy of organizationwide risk management practices, which of the following best describes a primary area of interest for the engagement?

A. The effectiveness of process-level and transaction-level controls.
B. Conflicts of interest within the organizational structure of the senior management.
C. The alignment of management decisions with the level of risk the organization is willing to accept.
D. The actions of upper management in response to the internal audit activity's reporting

Answer:

Question 32 Selectable Answer

In the COSO internal control framework, which of the following components serves as the foundation for the other components?

A. Control activities.
B. Control environment.
C. Risk assessment.
D. Monitoring

Answer:

Question 33 Selectable Answer

Which of the following describes two duties that should not be performed by the same person?

A. Posting cash receipts and cash payments to the general ledger.
B. Posting bad debt write-offs and reconciling the accounts payable subsidiary ledger.
C. Distributing payroll checks and approving sales returns for credit.
D. Recording cash receipts and preparing bank reconciliations.

Answer:

Question 34 Selectable Answer

Which of the following is an example of a directive control?

A. Segregation of duties.
B. Exception reports.
C. Training programs.
D. Supervisory review.

Answer:

Question 35 Selectable Answer

Which of the following specifications in an internal audit charter is the most important factor in the internal audit activity’s independence?

A. Description of internal audit activity's responsibilities
B. Definition of internal auditing
C. Statement of internal audit activity's authority
D. Description of internal audit activity's reporting structure

Answer:

Question 36 Selectable Answer

An employee accepts cash payments from customers and does not record the sale. This is an example of which of the following types of fraud?

A. Asset misappropriation.
B. Skimming
C. Corruption.
D. Lapping.

Answer:

Question 37 Selectable Answer

Which of the following best describes a consulting engagement rather an assurance engagement?

A. Bank internal auditors review an activity checklist to determine that the loan officer followed proper procedures.
B. The chief financial officer asks for the internal auditor's opinion regarding whether the new accounting pronouncements were properly and comprehensively adopted
C. An internal auditor is assigned to assess whether a proposed new initiative to convert a customer service system would be cost effective.
D. Senior management asks the internal audit activity to review compliance with customer data security regulations

Answer:

Question 38 Selectable Answer

According to IIA guidance, which of the following best describes the chief audit executive s responsibility for confirming to the board the organizational independence of the internal audit activity'?

A. The CAE must do this at least annually
B. The CAE must do this at least once every five years
C. The CAE must do this upon completion of each external quality assessment
D. The CAE should do this periodically in conjunction with a review of the internal audit charter

Answer:

Question 39 Selectable Answer

The principle that "no action should be taken that may harm in some way the least fortunate people" is an expression of which of the following more general ethical principles?

A. Utilitarian benefits.
B. Personal virtues.
C. Religious injunctions.
D. Distributive justice.

Answer:

Question 40 Selectable Answer

The internal audit activity is responsible for which of the following actions related to an organization’s internal controls?

A. Mitigating risks affecting achievement of organizational objectives.
B. Enabling opportunities affecting achievement of organizational objectives.
C. Analyzing and advising regarding costs versus benefits of control activities,
D. Attesting to fairness of financial statements.

Answer:

Question 41 Selectable Answer

An engagement supervisor noticed that a newly hired internal auditor struggles with large data samples because he appears reluctant to apply available spreadsheet statistical functions and tends to perform testing of transactions manually In which of the following areas does the internal auditor most likely need training?

A. Critical thinking.
B. International Professional Practices Framework
C. Professional ethics
D. Business acumen

Answer:

Question 42 Selectable Answer

Which of the following is most accurate concerning corporate social responsibility?

A. A moral agent in an organization makes decisions that are based on the rules and regulations of the organization as they apply to human resources decisions
B. The utilitarian approaching deciding on ethical dilemmas is concerned with choosing the simplest solution that will apply to the most people
C. Ethics are not defined by laws but they are not a matter of free choice ethics are based on standards of conduct derived from shared principles and values
D. The individualism approach to ethical decision making is focused on implementing a customized long-term outcome that is most beneficial for the entire organization

Answer:

Question 43 Selectable Answer

An internal auditor notes that inventory counts are conducted on Mondays only and that all documentation is on paper as there are no computers in the underground warehouses. Also she notices that the person responsible for receiving the goods is the same one who distributes materials and spare parts Finally, she sees that spare parts are written off and taken by the heads of mining units to different underground locations to wait for their turn to be installed.
Which of the described findings requires more consideration from a fraud risk perspective?

A. The job responsibilities of the warehouse employee compromise segregation of duties
B. Spare parts are written off before their actual usage and installation
C. Warehouse management is conducted on paper and requires further investigation
D. The inventory counts take place on specific days of the week for no apparent reason

Answer:

Question 44 Selectable Answer

To encourage internal audit objectivity, which of the following is an appropriate policy the chief audit executive should establish?

A. Internal auditors should report their audit findings directly to the audit committee.
B. To receive an outstanding performance rating, internal auditors are required to generate audit findings.
C. Prior to hiring a new internal auditor, the chief audit executive must determine whether the auditor owns stock in the organization.
D. Internal auditors are permitted to audit an entity managed by a close friend or relative, as long as they notify the chief audit executive.

Answer:

Question 45 Selectable Answer

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?

A. Workshops.
B. Surveys.
C. Interviews.
D. Observation.

Answer:

Current Exam

IIA-CIA-Part1

IIA
CIA Exam Part One: Essentials of Internal Auditing

View Full IIA-CIA-Part1 Package