- All Exams Instant Download
Which of the following audit procedures would provide the most relevant information to identify discrepancies between budgeted versus actual raw material consumption in a production facility?
Which of the following audit procedures would provide the most relevant information to identify discrepancies between budgeted versus actual raw material consumption in a production facility?A . Analytical review.B . Inquiry.C . Document verification.D . Observation.View AnswerAnswer: A
Which statement regarding acceptance of the money is correct?
The director of purchasing, a certified internal auditor (CIA), signs a contract to procure a large order from a supplier whose products provide the best price, quality, and performance. A few days after signing the contract, the supplier presents the CIA with $1, 000 as a gift. Which statement regarding...
According to IIA guidance, which of the following should be the chief audit executive's primary focus to achieve these recommended improvements?
The last quality assessment of the internal audit activity identified three areas for improvement: the achievement of audit engagement objectives, quality of work, and staff development. According to IIA guidance, which of the following should be the chief audit executive's primary focus to achieve these recommended improvements?A . Demonstrated compliance...
Which of the following actions are most appropriate for the auditor to take?
While attending a conference, an internal auditor won an all-expense paid trip sponsored by a vendor of the internal auditor's organization. Which of the following actions are most appropriate for the auditor to take?A . Consult with an immediate supervisor and notify the organization's audit committee.B . Consult with an...
Which of the following audit techniques is used to evaluate control design while also embodying auditing's analytical process?
Which of the following audit techniques is used to evaluate control design while also embodying auditing's analytical process?A . A risk and control matrix.B . A flowchart.C . A walk-through.D . A process narrative.View AnswerAnswer: A
Which of the following scenarios exemplifies a potential internal control weakness?
Which of the following scenarios exemplifies a potential internal control weakness?A . The same employee who receives cash from customers prepares a prelisting of cash receipts.B . The same employee who records cash receipts in the accounts receivable subsidiary ledger ensures that the ledger automatically updates the information.C . The...
According to the IIA guidance, who is responsible for periodically assessing the internal audit activity?
According to the IIA guidance, who is responsible for periodically assessing the internal audit activity?A . The board.B . The chief audit executive.C . Senior management.D . The external auditors.View AnswerAnswer: B
Maintain open and effective communications with the audit committee.
Maintain open and effective communications with the audit committee.A . 1 and 2 onlyB . 3 and 4 onlyC . 1, 3, and 4 onlyD . 2, 3, and 4 onlyView AnswerAnswer: D
To address this concern, which of the following actions is most appropriate for the CAE to take?
The audit committee is concerned that the small size of the internal audit activity (IAA) makes it impractical to achieve full conformance with the Standards. To address this concern, which of the following actions is most appropriate for the CAE to take? A. The CAE should agree with the audit...
Which of the following is not a role of the internal audit activity in facilitating risk identification and evaluation?
Which of the following is not a role of the internal audit activity in facilitating risk identification and evaluation?A . Evaluating risk management processes.B . Recommending accountability for risk management.C . Providing assurance that risks are evaluated correctly.D . Supporting managers to identify ways to mitigate risks.View AnswerAnswer: B
