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Which of the following is most likely to be considered a control weakness?
Which of the following is most likely to be considered a control weakness?A . Vendor invoice payment requests are accompanied by a purchase order and receiving report.B . Purchase orders are typed by the purchasing department using prenumbered formsC . Buyers promptly update the official vendor listing as new supplier...
Skimming involves stealing cash or assets from the organization and is normally concealed by adjusting the organization’s records
Skimming involves stealing cash or assets from the organization and is normally concealed by adjusting the organization’s records 4 Disbursement fraud occurs when a person causes the organization to issue a payment for fictitious goods or servicesA . 1 and 3.B . 1 and 4C . 2 and 3.D ....
Which of the following statements is true regarding engagement planning?
Which of the following statements is true regarding engagement planning?A . The scope of the engagement should be planned according to the internal audit activity's budget and then aligned to the risk universe.B . The audit engagement objectives should be based on operational managements view of risk objectivesC . The...
When determining the level of staff and resources to be dedicated to an assurance engagement, which of the following would be the most relevant to the chief audit executive?
When determining the level of staff and resources to be dedicated to an assurance engagement, which of the following would be the most relevant to the chief audit executive?A . The overall adequacy of the internal audit activity's resourcesB . The availability of guest auditors for the engagementC . The...
Which of the following statements is true regarding managements use of judgement to design, implement, and conduct internal control?
Which of the following statements is true regarding managements use of judgement to design, implement, and conduct internal control?A . The use of judgment enhances managements ability to make better decisions about internal control, but cannot guarantee perfect outcomes.B . introducing judgment generally diminishes managements ability to make good decisions...
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 CEOC . The...
Which of the following is the most appropriate way to ensure that a newly formed internal audit activity remains free from undue influence by management?
Which of the following is the most appropriate way to ensure that a newly formed internal audit activity remains free from undue influence by management?A . Appoint the chief audit executive as a member of the board.B . Adopt written policies and procedures for the internal audit activity, approved by...
Which of the following justifies inclusion of this clause in the reports?
An internal audit activity maintains a quality assurance and improvement program that includes annual self-assessments The internal audit activity includes in each engagement report a clause that the engagement is conducted in conformance with the International Standards for the Professional Practice of Internal Auditing (Standards). Which of the following justifies...
Which of the following types of controls should she examine?
An internal auditor observed that sales staff are able to modify or cancel an order in the system prior to shipping She wonders whether they can also modify orders after shipping. Which of the following types of controls should she examine?A . Batch controls.B . Application controlsC . General IT...
Which of the following best demonstrates internal auditors performing their work with proficiency?
Which of the following best demonstrates internal auditors performing their work with proficiency?A . internal auditors meet with operational management at each phase of the audit process.B . Internal auditors adhere to The IIA's Code of Ethics.C . Internal auditors work collaboratively with their engagement team.D . Internal auditors complete...
