[Sep-2023] Download Real IIA-CIA-Part2 Exam Dumps for candidates. 100% Free Dump Files
Prepare Important Exam with IIA-CIA-Part2 Exam Dumps(2023)
NEW QUESTION # 87
According to IIA guidance, which of the following are the most important objectives for helping to ensure the appropriate completion of an engagement?
1. Coordinate audit team members to ensure the efficient execution of all engagement procedures.
2. Confirm engagement workpapers properly support the observations, recommendations, and conclusions.
3. Provide structured learning opportunities for engagement auditors when possible.
4. Ensure engagement objectives are reviewed for satisfactory achievement and are documented properly.
- A. 1, 2, and 3
- B. 1, 3, and 4
- C. 1, 2, and 4
- D. 2, 3, and 4
Answer: C
NEW QUESTION # 88
According to IIA guidance, which of the following activities is most likely to enhance stakeholders' perception of the value the internal audit activity (IAA) adds to the organization?
1.The IAA uses computer-assisted audit techniques and IT applications.
2.The IAA uses a consistent risk-based approach in both its planning and engagement execution.
3.The IAA demonstrates the ability to build strong and constructive relationships with audit clients.
4.The IAA frequently is involved in various project teams and task forces in an advisory capacity.
- A. 1 and 2
- B. 1 and 3
- C. 3 and 4
- D. 2 and 4
Answer: C
NEW QUESTION # 89
Which of the following best illustrates the primary focus of a risk-based approach to control self-assessment?
- A. To link a financial institution's business objectives to a work unit responsible for the associated risk.
- B. To examine the processes involved in exploring, developing, and operating a gold mine.
- C. To assess the likelihood and impact of events associated with operating a finished goods warehouse.
- D. To evaluate controls regarding the computer security of an oil refinery.
Answer: C
Explanation:
Section: Volume E
NEW QUESTION # 90
According to IIA guidance, when would an interim report typically be produced?
- A. Following management's update tor actions taken on outstanding recommendations.
- B. Following each workshop conducted during a consulting engagement.
- C. During a standard audit engagement when management wants to address an issue before the final report is drafted.
- D. During lengthy audit engagements involving several organizational units.
Answer: D
NEW QUESTION # 91
Which of the following tasks would be considered unusual for planning a control self-assessment workshop?
- A. Identifying key stakeholders and ensuring they are represented in the group.
- B. Conducting interviews to identify relevant issues for the discussion.
- C. Securing an external subject matter expert to arbitrate disputes.
- D. Ensuring that managers are willing to accept constructive criticism.
Answer: C
NEW QUESTION # 92
When planning an audit engagement, what should an internal auditor first consider when assessing the risk of fraud in the area to be audited?
- A. Impact of and exposure to fraud.
- B. Management's risk appetite.
- C. Organizational structure.
- D. Existence of evidence of fraud.
Answer: A
NEW QUESTION # 93
An organization's policies allow buyers to authorize expenditures up to $50,000 without any other approval. Which of the following audit procedures would be most effective in determining if fraud in the form of payments to fictitious companies has occurred?
- A. Develop a snapshot technique to trace all transactions by suspected buyers.
- B. Use generalized audit software to take a random sample of all expenditures under $50,000 to determine whether they were properly approved.
- C. Use generalized audit software to select a sample of paid invoices to new vendors and examine evidence that shows that services or goods were received.
- D. Use generalized audit software to list all purchases over $50,000 to determine whether they were properly approved.
Answer: C
NEW QUESTION # 94
Which of the following factors is least essential to a successful control self-assessment workshop?
- A. Prior planning.
- B. Facilitation training.
- C. Group dynamics.
- D. Voting technology.
Answer: D
NEW QUESTION # 95
Which of the following is the primary reason the chief audit executive should consider the organization's strategic plans when developing the annual audit plan?
- A. Strategic plans are likely to show areas of weak financial controls.
- B. The strategic plan is a relatively stable document on which to base audit planning.
- C. Strategic plans are helpful to identify major areas of activity, which may direct the allocation of internal audit activity resources.
- D. Strategic plans reflect the organization's business objectives and overall attitude toward risk.
Answer: D
Explanation:
Section: Volume E
NEW QUESTION # 96
When interrogating an individual who is suspected of fraud, it is appropriate to:
- A. Discontinue questioning once the individual has confessed to the fraud.
- B. Tell the individual that any information disclosed in the interrogation will not be disclosed outside of the company.
- C. Start the interview with questions to which the interviewer already knows the answer.
- D. Prepare a list of questions prior to the interrogation and strictly adhere to the list.
Answer: C
Explanation:
Section: Volume B
NEW QUESTION # 97
An internal audit manager is supervising an engagement. A senior auditor deviates from the approved engagement plan but meets all deadlines in the approved time schedule. Which activity is not required for the audit manager to provide proper engagement supervision?
- A. Ensure compliance with the time schedule.
- B. Actively participate in audit procedures.
- C. Ensure that all engagement objectives are met.
- D. Approve the deviation from the engagement plan.
Answer: B
Explanation:
Section: Volume C
NEW QUESTION # 98
Which of the following sampling techniques is typically used when an internal auditor wants to test a large sample for fraud?
- A. Stratified sampling
- B. Probability-proportional-to-size sampling
- C. Discovery sampling
- D. Haphazard sampling
Answer: C
NEW QUESTION # 99
In preparing to facilitate a control self-assessment session, an auditor would be least likely to ensure that:
- A. An independent content expert is available to help settle disagreements.
- B. Management is consulted on the issues and priorities.
- C. Background research is completed to familiarize the auditor with relevant issues.
- D. Key stakeholders are represented in the group.
Answer: A
NEW QUESTION # 100
Which of the following conditions should a chief audit executive take into account when deciding if a follow- up audit engagement is necessary?
* The reported observations were significant and high risk.
* Internal audit resources and the time it will require for follow-up.
* Management may not have the resources to take action.
* Management has previously decided not to take any action.
- A. 1, 2, and 4 only
- B. 1, 3, and 4 only
- C. 1, 2, and 3 only
- D. 2, 3, and 4 only
Answer: A
NEW QUESTION # 101
When establishing the internal audit activity's annual plan, which of the following would be the best source of potential audit engagement topics?
- A. Recent changes in management objectives.
- B. Risk factors utilized in the organization's risk models.
- C. The organization's budget.
- D. Operations involving cash transactions.
Answer: A
Explanation:
Section: Volume D
NEW QUESTION # 102
The internal auditor of a bank has developed a multiple regression model which has been used for a number of years to estimate the amount of interest income from commercial loans. During the current year, the auditor applies the model and discovers that the R2 value has decreased dramatically, but that the model otherwise seems to be working correctly. Which of the following conclusions is justified by the change?
- A. Some new factors, not included in the model, are causing interest income to change.
- B. A linear regression analysis would increase the model's reliability.
- C. Regression analysis is no longer an appropriate technique to estimate interest income.
- D. Changing to a cross-sectional regression analysis should cause the R2 to increase.
Answer: A
NEW QUESTION # 103
A chief audit executive (CAE) has decided to add an engagement to the current audit plan which will exceed available audit resources. Which of the following is the best course of action for the CAE to take?
- A. Present the plan change to senior management and request additional resources before going to the board of directors.
- B. Add this change to the plan and request senior management to indicate which other engagement should be deleted to keep the overall plan within resource constraints.
- C. Immediately seek additional resources from senior management and the board of directors to meet the needs of the organization.
- D. Seek approval from senior management and the board of directors for the plan change and advise them of the issue of limited resources.
Answer: D
NEW QUESTION # 104
According to IIA guidance, which of the following actions might place the independence of the internal audit function in jeopardy?
- A. Coordinating and managing the risk management process.
- B. Having no active role or involvement in the risk management process.
- C. Participating with management in identifying and evaluating risks.
- D. Auditing the risk management process for reasonableness.
Answer: A
NEW QUESTION # 105
Inadequate risk assessment would have the strongest negative impact in which of the following phases of an audit engagement?
- A. Evaluating findings.
- B. Determining the scope.
- C. Reviewing internal controls.
- D. Testing.
Answer: B
NEW QUESTION # 106
It is close to the fiscal year end for a government agency, and the chief audit executive (CAE) has the following items to submit to either the board or the chief executive officer (CEO) for approval. According to IIA guidance, which of the following items should be submitted only to the CEO?
- A. The internal audit risk assessment and audit plan for the next fiscal year.
- B. A request for an increase of the CAE's salary for the next fiscal year.
- C. The internal audit budget and resource plan for the coming fiscal year.
- D. The evaluation and compensation of the internal audit team.
Answer: D
NEW QUESTION # 107
An appliance repair company is considering relocating the center that houses its service vehicles. An internal auditor wants to determine the potential reduction in average miles driven by the service vehicles if the center is relocated. Which of the following statistical sampling methods would be most appropriate for this test?
- A. Discovery sampling.
- B. Mean-per-unit sampling.
- C. Attributes sampling.
- D. Probability-proportional-to-size sampling.
Answer: B
Explanation:
Section: Volume A
NEW QUESTION # 108
......
IIA-CIA-Part2 Questions - Truly Beneficial For Your IIA Exam: https://www.prep4sureguide.com/IIA-CIA-Part2-prep4sure-exam-guide.html
Pass Exam Questions Efficiently With IIA-CIA-Part2 Questions: https://drive.google.com/open?id=13JMOm_PuYby4TeBBVv4w_RJSSDdk7gmB