The Secret Of IIA IIA-CIA-Part1 Exam Answers

we provide Verified IIA IIA-CIA-Part1 practice which are the best for clearing IIA-CIA-Part1 test, and to get certified by IIA Certified Internal Auditor - Part 1, The Internal Audit Activitys Role in Governance, Risk, and Control. The IIA-CIA-Part1 Questions & Answers covers all the knowledge points of the real IIA-CIA-Part1 exam. Crack your IIA IIA-CIA-Part1 Exam with latest dumps, guaranteed!

Also have IIA-CIA-Part1 free dumps questions for you:

NEW QUESTION 1
A new internal audit activity is creating its first charter. According to IIA guidance, which of the following objectives would be appropriate for inclusion in the charter?

  • A. Continuously monitor the organization's overall risk activities in relation to its risk appetite.
  • B. Evaluate the adequacy and effectiveness of the organization's governance activities.
  • C. Oversee the establishment and administration of an effective risk management program.
  • D. Assist management in implementing recommended control improvements.

Answer: C

NEW QUESTION 2
Which of the following is considered a violation of The IIA's Code of Ethics?

  • A. An auditor conveys public information about an organization's financial condition.
  • B. An auditor reports a manager's illegal activity to senior management, rather than reporting the incident to the appropriate external authority.
  • C. An auditor receives allegations of fraud from a whistleblower and immediately reports the allegations to senior management.
  • D. An auditor reports material deficiencies, despite the fact that management is already aware of the defects.

Answer: C

NEW QUESTION 3
Which of the following describes a key characteristic related to effective organizational communication?

  • A. Comprehensive supervisory and verification procedures.
  • B. A well-designed system of internal controls.
  • C. A culture of integrity and transparency.
  • D. Unique operating environments with varying complexity.

Answer: B

NEW QUESTION 4
Which of the following actions should the audit committee take to promote organizational independence for the internal audit activity?

  • A. Delegate final approval of the risk-based internal audit plan to the chief audit executive (CAE).
  • B. Approve the annual budget and resource plan for the internal audit activity.
  • C. Assist the CAE with hiring objective and competent internal audit staff.
  • D. Encourage the CAE to communicate and coordinate with the external auditor.

Answer: A

NEW QUESTION 5
Which of the following is an example of a risk avoidance strategy?

  • A. Hedging against exchange rate variations.
  • B. Limiting access to an organization's data center.
  • C. Selling a nonstrategic business unit.
  • D. Outsourcing a high-risk activity.

Answer: C

NEW QUESTION 6
What should the internal auditor's role be in assessing the organization's ethical climate?

  • A. Perform ongoing surveys of the employees, customers, and partners of the organization to assess the organization's ethical climat
  • B. ^Evaluate the effectiveness of the organization's strategies and
  • C. processes for achieving the desired level of legal and ethical compliance.
  • D. Maintain a whistleblower hotline to identify inappropriate or illegal activity within the organization.
  • E. Perform background checks of potential new employees before they are hired by the organization.

Answer: B

NEW QUESTION 7
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?

  • A. Allow the audit manager to hire the contractor and state that the individual is free to perform IT audits, including security.
  • B. Not allow the audit manager to hire the contractor, as it would be a conflict of interest.
  • C. Allow the audit manager to hire the contractor, but state that the individual is not allowed to work on IT security audits for one year.
  • D. Not allow the audit manager to hire the contractor and ask the individual to apply again in one year.

Answer: A

NEW QUESTION 8
Which of the following best describes the details that must be included in the quality assurance and improvement program (QAIP) report to senior management and the board?

  • A. The scope and frequency of internal and external assessments as well as the qualifications and independence of the assessor.
  • B. The scope and cost of the QAI
  • C. frequency of internal and external assessments, and conclusions of the assessor.
  • D. The scope, findings, risks, recommendations, and agreed-upon improvement actions.
  • E. The number and types of people involved in the assessment, costs, and duration of the QAIP

Answer: C

NEW QUESTION 9
In the area of business acumen, which of the following competencies would be the sole responsibility of an internal audit staff member?

  • A. Maintaining industry-specific knowledge appropriate to the organization.
  • B. Assessing how IT contributes to organization objectives, risks, and relevance to audit.
  • C. Maintaining technical aspects of accounting standards and reporting processes.
  • D. Understanding regulatory and legal framework and assessing its relevance.

Answer: D

NEW QUESTION 10
The management at a national consumer goods organization implements a fair work and pay practice as well as a policy to treat employees equitably and consistently. Which common characteristics of fraud will the practice and policy most likely reduce?

  • A. Pressure or incentive.
  • B. Opportunity.
  • C. Rationalization.
  • D. Commitment.

Answer: A

NEW QUESTION 11
Which of the following statements is true with regard to conducting an effective quality assurance and improvement program?

  • A. The IIA's Quality Assessment Manual for the Internal Audit Activity must be used as the basis for periodic assessments.
  • B. Members of the internal audit activity are not permitted to perform quality assessments, as they would not be independent.
  • C. Periodic internal assessments provide the most current and independent recommendations for improvement.
  • D. The conclusions of periodic internal assessments are intended to assist in achieving conformity to the Standards.

Answer: D

NEW QUESTION 12
Which two of the following are preventive controls in a check disbursement process?
* 1. Daily reconciliation of the bank account used for check disbursements and prompt follow-up of un-reconciled items.
* 2. Segregation of the following duties: establishing new vendors, approving checks, and reconciling the bank account.
* 3. An activity report detailing who accesses the check disbursement system and the nature of any action taken in the system.
* 4. Evidence of strong access controls ensuring that authorized individuals have access only to the functions related to their responsibilities.

  • A. 1 and 3.
  • B. 1 and 4.
  • C. 2 and 3.
  • D. 2 and 4.

Answer: D

NEW QUESTION 13
An internal auditor wants to sample data to test an audit theory in a cost-effective way. Which of the following sampling strategies should she use?

  • A. Statistical sampling only
  • B. Nonstatistical sampling only
  • C. A combination of both statistical and nonstatistical sampling.
  • D. Neither approach to testing the audit theory would be cost effective.

Answer: B

NEW QUESTION 14
A former line supervisor from the Financial Services Department has completed six months of a two-year development opportunity with the internal audit activity (IAA). She is assigned to a team that will audit the organization's payroll function, which is managed by the Human Resources Department. Which of the following statements is most relevant regarding her independence and objectivity with respect to the payroll audit?

  • A. She may participate, but only after she has completed one year with the IAA.
  • B. She may participate, because she did not previously work in the Human Resources Department.
  • C. She may participate, but she must be supervised by the auditor in charge.
  • D. She may participate for training purposes, to build her knowledge of the IAA.

Answer: B

NEW QUESTION 15
An auditor in charge was reviewing the workpapers submitted by a newly hired internal auditor. She noted that the new auditor's analytical work did not include any rating or quantification of the risk assessment results, and she returned the workpapers for correction. Which section of the workpapers will the new auditor need to modify?

  • A. Condition section.
  • B. Criteria section.
  • C. Effect section.
  • D. Cause section.

Answer: C

NEW QUESTION 16
The security department uncovered what appears to be a complex fraud in the accounting department. The CEO has requested the internal audit activity to investigate the fraud. If the internal audit staff lacks the expertise to conduct the investigation, how should the chief audit executive proceed?

  • A. Disclose the deficiency, and request that the investigation be reassigned to the first line of defense.
  • B. Proceed with the investigation, as internal auditors are not required to have fraud expertise.
  • C. Outsource the sensitive investigation to a third-party consultant with fraud expertise.
  • D. Select a member of the accounting department who is not involved in the fraud to join the investigation team in a consulting capacity.

Answer: C

NEW QUESTION 17
During an audit engagement, the internal auditor discussed a risk mitigation recommendation with the manager of the area under review. The manager disagreed with the risk assessment and recommendation. The two failed to come up with an alternative solution, and the auditor decided to proceed with including the original recommendation in the engagement report. Which of the following is especially important in dealing with this type of situation?

  • A. Soft skills in communication, negotiation, and collaboration.
  • B. Technical skills in the area under review.
  • C. Professional qualifications and certification in internal auditing.
  • D. Confidentiality and independence.

Answer: A

NEW QUESTION 18
Which of the following behaviors could represent a significant ethical risk if exhibited by an organization's board?

  • A. Requesting a private meeting with senior management, without the presence of the chief audit executive.
  • B. Intervening during an audit involving ethical wrongdoing.
  • C. Discussing periodic reports of ethical breaches.
  • D. Authorizing an investigation of an unsafe product.

Answer: B

NEW QUESTION 19
According to IIA guidance, the results of a formal quality assessment should be reported to which of the following groups?

  • A. The audit committee and senior management.
  • B. The audit committee and the external auditors.
  • C. Senior management and management of the audited area.
  • D. Senior management and the external auditors.

Answer: A

NEW QUESTION 20
A credit card company detects potential errors in credit card numbers by checking whether all entered numbers contain the correct amount of digits. This is an example of which of the following IT controls?

  • A. Logic test.
  • B. Check digits.
  • C. Data integrity tests.
  • D. Balancing control activities.

Answer: A

NEW QUESTION 21
......

P.S. Easily pass IIA-CIA-Part1 Exam with 467 Q&As Dumps-hub.com Dumps & pdf Version, Welcome to Download the Newest Dumps-hub.com IIA-CIA-Part1 Dumps: https://www.dumps-hub.com/IIA-CIA-Part1-dumps.html (467 New Questions)