Free IIA IIA-CIA-Part1 Practice Questions 2026 - Page 22

Which risk management activity would cause the internal auditor to assume a management responsibility?

A. Assessing management's acceptance of risk.

B. Reviewing a cybersecurity risk report issued by management.

C. Developing a list of emerging risks for management.

D. Prioritizing risks for management.

An internal auditor believes that a weakness exists in the control environment relating to the delegation of authority and responsibility within the management structure. Which of the following actions should the internal auditor first consider in this matter?

A. Recommend a control change and obtain management support.

B. Evaluate the potential Impact on related controls.

C. Address the risk with senior management and the board.

D. Develop and communicate the scope and evaluation criteria to be used by management.

Which of the following would be most helpful to measure whether an internal audit activity successfully provides risk-based assurance?

A. Percentage of highly significant risks covered by internal audit plan.

B. Percentage of previously unknown risks identified per engagement.

C. Percentage of internal audit staff skilled in alignment with the organization's structure and key risks.

D. Percentage of observations made in assurance engagements compared to advisory engagements.

Which of the following circumstances would most likely be considered a potential red flag for fraud by the internal audit activity?

A. The monthly payroll reports are not vetted to ensure terminated employees have been removed from the payroll system.

B. The volume of nonroutine journal entries has steadily increased over time.

C. The database of approved suppliers has not been reviewed in the last year.

D. The recent employee survey indicates that some employees remain unaware of the organization’s whistleblower hotline.

Why is it imperative for the chief audit executive to track and develop the educational qualifications of internal audit staff?

A. To accurately conduct performance appraisals

B. To ensure that staff complete required continuing professional education credits annually.

C. To ensure that the resources needed to complete the audit plan are available.

D. To satisfy the audit committee requirements.

A chief audit executive (CAE) identifies that the internal audit activity lacks a necessary skill to perform a management request for a consulting engagement. According to IIA guidance, which of the following is the most appropriate action the CAE should take regarding the request?

A. Assign the engagement to a more senior internal auditor.

B. Decline the engagement request.

C. Allow the internal auditors to acquire the needed skills while performing the engagement.

D. Supervise the assigned internal auditors throughout the engagement.

In which of the following ways can a chief audit executive demonstrate to the board that the internal audit activity collectively possesses all of the skills needed to complete its annual goals?

A. Involve board members in hiring activities and request advice.

B. Require all internal audit staff to complete the same training course on a general audit subject,

C. Require senior auditors to obtain a professional certification.

D. Provide a competency assessment of the internal audit staff.

Tr» chiet audit executive (CAE) of large organization is preparing job descriptions to hire five new general internal audit staff, two new IT auditors and a senior auditer how is the CAE likely to describe IT requirements for me general internal audit statt positions?

A. The candidate must be able to apply data analytics tolls methodologies

B. The candidate must be able to evaluate IT governance and cybersecurity frameworks.

C. The candidate must be able to understand IT-elated risk and general controls

D. The candidate must be able to execute web servers, applications, and databases testing procedures.

Which of the following is a primary benefit of implementing a governance, risk management, and compliance framework within an organization?

A. Fewer internal audits.

B. More effective interviews.

C. Automated risk management strategy tools.

D. Reduced assurance costs.

Which of the following is a preventive control the organization could implement to mitigate fraudulent activity in the accounts payable department?

A. Delivering fraud awareness training to employees in the department.

B. Segregating duties between employees in the department.

C. Requesting the internal audit activity perform an independent evaluation of fraud risk in the department.

D. Requiring accounts payable employees to sign a code of conduct awareness confirmation.