IIA IIA-ACCA - ACCA CIA Challenge Exam

A large trucking organization wants to reduce traffic accidents by improving its system of internal controls.

Which of the following controls is correctly classified?

1. Review of speeding violations to identify repetitive locations and drivers is an example of a preventive control.

2. Defensive driver training is an example of a directive control.

3. The installation of tracking devices in delivery vehicles is an example of a corrective control.

4. Providing a vehicle driver handbook is an example of a detective control.

A chief audit executive (CAE) reports functionally to the CEO and administratively to the chief financial officer, both of whom serve on the company's board of directors. According to IIA guidance, which of the following would offer the greatest protection for the independence of the internal audit activity?

Which of the following techniques would provide the most compelling evidence that a safety hazard exists within a manufacturing facility?

According to IIA guidance, which of the following roles would be appropriate for an internal auditor regarding fraud risk?

1. Identification.

2. Mitigation.

3. Remediation.

4. Reduction.

While auditing an organization's credit approval process, an internal auditor learns that the organization has made a large loan to another auditor's relative. Which course of action should the auditor take?

The chief audit executive (CAE) is planning to conduct an internal assessment of the internal audit activity (IAA). Part of this assessment will include benchmarking. According to IIA guidance, which of the following qualitative metrics would be appropriate for the CAE to use?

1. Average client customer satisfaction score for a given year.

2. Client survey comments on how to improve the IAA.

3. Auditor interviews once an audit has been completed.

4. Percentage of audits completed within 90 days.

Reviewing prior audit reports and supporting workpapers before an engagement starts enables an internal auditor to do which of the following?

1. To understand better the activity and processes that will be audited.

2. To identify the audit procedures that will be used during the engagement.

3. To ensure that matters of greatest vulnerability will be addressed.

4. To use the information obtained as evidence in the current engagement.

An IT contractor applied for an internal audit position at a bank. The contractor worked for the bank's IT security manager two years ago. If the audit manager interviewed the contractor and wants to extend a job offer, which of the following actions should the chief audit executive pursue?

According to COSO, which of the following is not considered one of the components of an organization's internal environment?

According to IIA guidance, which of the following statements is true when an internal auditor performs consulting services that improve an organization's operations?

Which of the following would be the most appropriate first step for the board to take when developing an effective system of governance?

An internal auditor is using a spreadsheet application to review a cash flow forecast prepared by management.

Which of the following correctly identifies the type of evidence this information represents?

An auditor identifies three errors in the sample of 25 entries selected for review (a 12 percent error rate). Based on this result, the auditor assumes that approximately 59 of the total population of 492 entries are incorrect. To reach this assumption, the auditor has used a technique known as which of the following?

Which of the following is an example of a management control technique?

According to the International Professional Practices Framework, which of the following are allowable activities for an internal auditor?

1. Advocating the establishment of a risk management function.

2. Identifying and evaluating significant risk exposures during audit engagements.

3. Developing a risk response for the organization if there is no chief risk officer.

4. Benchmarking risk management activities with other organizations.

5. Documenting risk mitigation strategies and techniques.