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Which of the following client-facilitated approaches is likely to be the most efficient way to accomplish this objective?
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.View AnswerAnswer: B
Which of the following best describes this risk strategy?
An organization decides to take no action on one of its financial risks because the cost of implementing the control outweighs the value of the asset being protected. Which of the following best describes this risk strategy?A . Risk avoidance.B . Risk-benefit analysis.C . Risk sharing.D . Risk acceptance.View AnswerAnswer:...
Which of the following sampling strategies should she use?
An internal auditor wants to sample data to test an audit theory in a cost-effective way. Which of the following sampling strategies should she use?A . Statistical sampling onlyB . Nonstatistical sampling onlyC . A combination of both statistical and nonstatistical sampling.D . Neither approach to testing the audit theory...
Which of the following sampling strategies should she use?
An internal auditor wants to sample data to test an audit theory in a cost-effective way. Which of the following sampling strategies should she use?A . Statistical sampling onlyB . Nonstatistical sampling onlyC . A combination of both statistical and nonstatistical sampling.D . Neither approach to testing the audit theory...
According to MA guidance, which of the following elements of the internal audit activity's quality assurance and improvement program would provide the CAE with the most helpful insight into the cause of this problem?
A chief audit executive (CAE) is reviewing the internal audit activity's performance and is concerned that the average number of revisions to findings is steadily rising, making it increasingly difficult to trace the finding to the supporting evidence and workpapers. According to MA guidance, which of the following elements of...
Losing bidders are hired as subcontractors.
Losing bidders are hired as subcontractors.A . 1 onlyB . 2 onlyC . 1 and 3.D . 2 and 4.View AnswerAnswer: D
Which of the following offers the best evidence that the internal audit activity has achieved organizational independence?
Which of the following offers the best evidence that the internal audit activity has achieved organizational independence?A . An independent third party has assessed the organization's system of internal controls to be adequate and effective.B . The chief audit executive reports both functionally and administratively to the CED . The...
Which of the following represents the organization's residual risk for online customer payments due?
Forty-five percent of an organization's customer payments are submitted online. Eight percent of online payments are rejected. Executive management decides to outsource its online payment services to a contractor that will assume 75 percent of the total value of rejected payments. The organization estimates $1.25 million customer payments due during...
According to MA guidance, which of the following roles would be most appropriate for the internal audit activity to undertake after the investigation?
A fraud investigation was completed by management, and a proven fraud was communicated to relevant authorities. According to MA guidance, which of the following roles would be most appropriate for the internal audit activity to undertake after the investigation?A . Plan employee sessions and team building strategies for the organization...
Which of the following techniques would provide the most compelling evidence that a safety hazard exists within a manufacturing facility?
Which of the following techniques would provide the most compelling evidence that a safety hazard exists within a manufacturing facility?A . Observation of the facility during operations.B . Questioning of facility management, including the facility safety officer.C . Analysis of facility operating reports, focusing on instances when breakdowns occurred.D ....
