FREE Certified Internal Auditor (IIA) Questions and Answers

Question 1

Which of the following methods achieves the independence of the internal audit activity, as per IIA guidance?

Accepted Answer

Organizational status and objectivity

Answer

Continuing professional development and due professional care

Answer

Staffing and supervision

Answer

Human relations and communications

Question 2

Which of the following claims concerning statistical sampling is accurate in light of the distinctions between statistical and judgmental sampling?

Accepted Answer

Population estimates can be made with measurable reliability

Answer

A smaller sample can be used

Answer

There is no need for judgment because everything is calculated using a formula.

Answer

More accurate results are obtained

Question 3

Which tactics will minimize production pauses brought on by equipment maintenance and repair?

Accepted Answer

Establish a preventive maintenance program for all production equipment

Answer

Plan maintenance activity based on an analysis of equipment repair work orders

Answer

Schedule production based on capacity planning

Answer

Preauthorize equipment maintenance and overtime pay

Question 4

All sales prices are set centrally in a manufacturing organization and are electronically transmitted to the distribution centres to update their sales price tables. Any price changes must have central office approval. An internal auditor should: ascertain how this procedure is operating.

Accepted Answer

Document the flow of sales price information, and determine how the table is accessed and updated

Answer

Create a flowchart of the sales order procedure to identify how orders are received and priced.

Answer

Obtain a copy of the computer program's existing flowchart to understand how price data is obtained.

Answer

Determine who approves the items' transportation and the goods' pricing.

Question 5

A chief audit officer should do the following to ensure that internal auditors' technical proficiency is appropriate for the audit engagements to be performed:

Accepted Answer

When determining the requirements for education and experience to fill internal auditing roles, consider the nature of the work and the level of responsibility

Answer

Ensure that each new auditor hired is proficient in all areas required to complete the department's audit mission

Answer

All members of the audit team should be required to complete a certain number of hours of CPE each year

Answer

Oversee a training program that combines individual auditors' interests with the training offered

Question 6

Which of the following statements accurately summarizes the most crucial factor when deciding who is responsible for what obligations arise during an audit engagement?

Accepted Answer

Each auditor assigned an audit task must possess the knowledge and abilities to accomplish the work

Answer

Assignments for auditors must be primarily based on their years of experience

Answer

All audit team members must be capable of doing any work that will be necessary during the audit engagement

Answer

The audit team member who is best qualified to complete a task must be given that task

Question 7

A chief audit executive sends a note and questionnaire to the department's supervisors before conducting a preliminary survey. What outcome of that process is most likely?

Accepted Answer

It involves the engagement client's supervisory personnel in the audit

Answer

It makes the audit engagement seem uncertain.

Answer

It is only useful for audits of distant locations

Answer

It is an uneconomical approach to obtaining information