IIA-CIA-Part1

Management assessed the organization’s risk of expanding operations into a new, but volatile, region and began looking for a compatible local partner to manage sales and distribution. Which of the following best describes this risk management technique?A . Avoidance. B. Acceptance. C. Reduction. D. SharingView AnswerAnswer: C

Which of the following best describes the internal audit activity's contribution to the implementation of the risk management framework?A . Internal audit identifies key risk areas during assurance reviews and provides audit findings. B. Internal audit assists with the prioritization of identified risks. C. Internal audit participates in setting the...

Which of the following best describes the internal audit activity’s responsibility within a risk and control framework?A . The internal audit activity constitutes the first line of defense in effective risk management. B. The internal audit activity provides direction regarding internal controls implementation. C. The internal audit activity verifies that...

According to the 11A Code of Ethics, which of the following is required with regard to communicating results?A . The internal auditor should present material information to appropriate personnel within the organization without revealing confidential matters that could be detrimental to the organization. B. The internal auditor should disclose all...

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...

According to IIA guidance, which of the following statements regarding the internal audit charter is true?A . The nature of consulting services typically is not included in the charter. B. The chief audit executive must formally review the charter at least once a year C. The nature of assurances provided...

Which of the following actions is a chief audit executive most likely to take in order to identify gaps in the internal audit activity’s knowledge, skills, and competencies?A . Complete a skills assessment of the internal audit activity based on. The IIA Global Internal Audit Competency Framework. B. Develop a...

Which of the following processes does the board manage to ensure adequate governance?A . Establish and measure performance objectives for the internal audit activity. B. Select board members with necessary knowledge and skills. C. Develop, approve, and execute the strategic plan of the organization. D. Develop strategies to mitigate the...

If the skills and competencies are not present within the internal audit activity to complete an ad-hoc assurance engagement, which of the following is an acceptable resolution?A . Politely decline the engagement due to a lack of qualified staff available at the time. B. Complete the engagement as requested, with...

In which of the following ways can a chief audit executive demonstrate to the board that the internal audit activity collectively possesses all of the skills needed to complete its annual goals?A . Involve board members in hiring activities and request advice. B. Require all internal audit staff to complete...