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IIA IIA-CIA-Part2 Practice Test - Questions Answers, Page 46

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List of questions

Question 451

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During audit engagement planning, an internal auditor is determining the best approach for leveraging computer-assisted audit techniques (CAATs). Which of the following approaches maximizes the use

Question 452

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Which of the following statements is true regarding risk assessments, including the evaluation and prioritization of risk and control factors?

Question 453

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Which of the following statements is true regarding engagement planning?

Question 454

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Which of the following actions should the chief audit executive take when senior management decides to accept risks by choosing to do business with a questionable vendor?

Question 455

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The internal audit activity needs to review the information security function but does not have the IT expertise needed for the engagement. Which of the following actions should the chief audit exec

Question 456

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Which of the following steps should an internal auditor complete when conducting a review of an electronic data interchange application provided by a third-party service? Ensure encryption keys mee

Question 457

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Which of the following is an advantage of nonstatistical sampling over statistical sampling?

Question 458

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Which of the following is most appropriate for internal auditors to do during the internal audit recommendations monitoring process?

Question 459

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During the review of an organization's retail fraud deterrence program, an employee mentions that an expensive fraud surveillance information system is rarely used. The internal auditor concludes th

Question 460

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Which of the following is an advantage of utilizing an external fraud specialist in a suspected fraud investigation?

Question 451

During audit engagement planning, an internal auditor is determining the best approach for leveraging computer-assisted audit techniques (CAATs). Which of the following approaches maximizes the use of CAATs and why?

Tracing, because it would enable the auditor to verify quickly that the record counts were properly included in the compilation.

Inspection, because it would enable the auditor to verify how management enters the data into the application for processing.

Testing data, because it would enable the auditor to ensure that the application processes the transaction as described by management.

Reperformance, because it enables the auditor to verify that the application performed the calculation correctly.

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Question 452

Which of the following statements is true regarding risk assessments, including the evaluation and prioritization of risk and control factors?

A risk-by-process matrix enables the user to determine associations between any of the processes and the risks.

The risk-factor approach for linking business processes and risks is more direct than the use of a risk-by-process matrix.

Internal risk factors are built into the environment and the nature of the process itself.

A risk map is used primarily to depict which risks will be reduced and which will be shared.

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Question 453

Which of the following statements is true regarding engagement planning?

The scope of the engagement should be planned according to the internal audit activity's budget and then aligned to the risk universe.

The audit engagement objectives should be based on operational management's view of risk objectives.

The planning phase of the engagement should be completed and approved before the fieldwork of the engagement begins.

The main purpose of the engagement work program is to determine the nature and timing of procedures required to gather audit evidence.

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Question 454

Which of the following actions should the chief audit executive take when senior management decides to accept risks by choosing to do business with a questionable vendor?

Persuade senior management to take appropriate action.

Cancel issuing the engagement report due to the assumed risks.

Accept senior management's assumption of the risks.

Discuss the issue with the board for them to take appropriate action.

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Question 455

The internal audit activity needs to review the information security function but does not have the IT expertise needed for the engagement. Which of the following actions should the chief audit executive take to ensure the internal audit activity conforms with the Standards?

Assign the engagement to a staff auditor and closely review his work and report.

Assign the engagement to a senior auditor, who carefully researches and studies the company's IT infrastructure.

Contract an external service provider auditor with the experience necessary to perform the audit.

Perform the audit herself and work closely with the information security function to obtain expertise in the area.

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Question 456

Which of the following steps should an internal auditor complete when conducting a review of an electronic data interchange application provided by a third-party service?

Ensure encryption keys meet ISO standards.

Determine whether an independent review of the service provider's operation has been conducted.

Verify that the service provider's contracts include necessary clauses.

Verify that only public-switched data networks are used by the service provider.

1 and 3.

1 and 4.

2 and 3.

2 and 4.

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Question 457

Which of the following is an advantage of nonstatistical sampling over statistical sampling?

Nonstatistical sampling provides more objective recommendations for management.

Nonstatistical sampling provides an opportunity to select the minimum sample size required to satisfy the objectives of the audit tests.

Nonstatistical sampling provides for the use of subjective judgment in determining the sample size.

Nonstatistical sampling permits the auditor to specify a level of reliability and the desired degree of precision.

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Question 458

Which of the following is most appropriate for internal auditors to do during the internal audit recommendations monitoring process?

Report the monitoring status to senior management when requested.

Assist management with implementing corrective actions.

Determine the frequency and approach to monitoring.

Include all types of observations in the monitoring process.

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Question 459

During the review of an organization's retail fraud deterrence program, an employee mentions that an expensive fraud surveillance information system is rarely used. The internal auditor concludes that additional staff are required to properly utilize the system to its full potential. According to IIA guidance, which criteria for evidence is most lacking to reach this conclusion?

Sufficiency.

Reliability.

Relevancy.

Usefulness.

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