Deal of The Day! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions
Mail Us support@pass4success.com
Location US
Mob_nav_barsMENU

IIA-ACCA Exam - Topic 10 Question 83 Discussion

Actual exam question for IIA's IIA-ACCA exam
Question #: 83
Topic #: 10
[All IIA-ACCA Questions]

An organization is facing a financial downturn and needs to impose major budget reductions to all departments. According to MA guidance, which of the following actions is most appropriate for the board to take to evaluate the potential impact on the internal audit activity?

Show Suggested Answer Hide Answer
Suggested Answer: B

by Corrina at Aug 07, 2024, 03:00 AM

Limited Time Offer

25%

Off

Get Premium IIA-ACCA Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

0/2000 characters
Submit Cancel
France
4 months ago
Definitely C, we need to know if audits can still be effective!
upvoted 0 times
...
Annice
4 months ago
A is a quick fix, but might miss important risks.
upvoted 0 times
...
Giovanna
4 months ago
Surprised they would even consider cutting audits!
upvoted 0 times
...
Lavonne
5 months ago
I disagree, I think B would give better insights.
upvoted 0 times
...
Dorsey
5 months ago
Option C seems the most logical to me.
upvoted 0 times
...
Sherman
5 months ago
I recall that the chief audit executive should have a clear view of how budget cuts affect audit responsibilities. So, option C seems logical, but I wonder if there are other factors to consider.
upvoted 0 times
...
Pearlene
5 months ago
I think asking management to identify lower-risk audits, like in option A, could lead to overlooking important areas. I’m not confident that’s the right approach, though.
upvoted 0 times
...
Chaya
5 months ago
This question reminds me of a similar practice question we did about prioritizing audit engagements. I feel like option B could be relevant since stakeholder input is crucial, but I’m torn.
upvoted 0 times
...
Antione
6 months ago
I remember we discussed how important it is for the board to understand the implications of budget cuts on internal audit functions. I think option C might be the best choice, but I'm not entirely sure.
upvoted 0 times
...
Golda
6 months ago
This is a tricky one. I'm tempted to go with option A, since it seems like a practical way to identify lower-risk audits that could potentially be removed. But the question is asking for the "most appropriate" action, so I'll need to weigh that against the other choices more carefully.
upvoted 0 times
...
Norah
6 months ago
Hmm, I'm a bit unsure about this one. There are a few options that seem reasonable, but I'm not totally sure which one is the "most appropriate" according to the MA guidance. I'll have to re-read the question carefully and think through the pros and cons of each choice.
upvoted 0 times
...
Elsa
6 months ago
This seems like a straightforward question about how the board should evaluate the impact of budget cuts on the internal audit function. I think the key is to focus on getting input from the right stakeholders, like the chief audit executive and other appropriate parties.
upvoted 0 times
...
Ashton
6 months ago
Okay, I think I've got this. Based on the guidance, the board should ask the chief audit executive to determine if the budget limitations will impede the internal audit activity's ability to execute its responsibilities. That seems like the most direct and appropriate way to evaluate the potential impact.
upvoted 0 times
...
Heidy
6 months ago
For this type of question, I usually try to break it down step-by-step. First, I'll review the key characteristics of a single-homed EVPN VPWS setup. Then I'll carefully evaluate each option to see which one aligns with that.
upvoted 0 times
...
Wynell
11 months ago
I heard the board is also considering outsourcing the internal audit function to a team of raccoons. They're known for their keen eye for detail and impressive dumpster-diving skills.
upvoted 0 times
Hassie
10 months ago
I heard the board is also considering outsourcing the internal audit function to a team of raccoons. They're known for their keen eye for detail and impressive dumpster-diving skills.
upvoted 0 times
...
Malcom
10 months ago
C) Ask the chief audit executive to determine whether budgetary limitations impede the ability of the internal audit activity to execute its responsibilities.
upvoted 0 times
...
Vilma
10 months ago
A) Ask management to determine which internal audit engagements are lower risk and could be considered for removal from the annual audit plan.
upvoted 0 times
...
...
Dick
11 months ago
Option A is a bit concerning. Removing lower-risk engagements from the audit plan could leave the organization vulnerable to undetected issues.
upvoted 0 times
...
Malika
11 months ago
Option B is a good idea, but it shouldn't be the only step. The board should also get the chief audit executive's input to fully understand the implications.
upvoted 0 times
Gayla
10 months ago
Option B is a good idea, but it shouldn't be the only step. The board should also get the chief audit executive's input to fully understand the implications.
upvoted 0 times
...
Aleshia
10 months ago
C) Ask the chief audit executive to determine whether budgetary limitations impede the ability of the internal audit activity to execute its responsibilities.
upvoted 0 times
...
Kerrie
11 months ago
B) Ask appropriate stakeholders for their opinion on the potential impacts of reducing the scope of the internal audit plan.
upvoted 0 times
...
Willetta
11 months ago
A) Ask management to determine which internal audit engagements are lower risk and could be considered for removal from the annual audit plan.
upvoted 0 times
...
...
Catalina
11 months ago
I'm not sure about Option D. Reducing the compensation of the audit staff doesn't seem like the right way to address the budget issues. That could lead to low morale and high turnover.
upvoted 0 times
Alease
10 months ago
B) Ask appropriate stakeholders for their opinion on the potential impacts of reducing the scope of the internal audit plan.
upvoted 0 times
...
Erasmo
11 months ago
A) Ask management to determine which internal audit engagements are lower risk and could be considered for removal from the annual audit plan.
upvoted 0 times
...
...
Kelvin
11 months ago
Option C is clearly the most appropriate action. The chief audit executive is best positioned to assess the impact of budget reductions on the internal audit activity's ability to execute its responsibilities effectively.
upvoted 0 times
...
Frederica
12 months ago
I believe option B is also important. Getting input from stakeholders can provide valuable insights on the potential impacts of reducing the scope of the internal audit plan.
upvoted 0 times
...
Myra
12 months ago
I agree with Wendell. The chief audit executive should assess the impact of budget reductions on the internal audit activity.
upvoted 0 times
...
Wendell
12 months ago
I think option C is the most appropriate.
upvoted 0 times
...

Save Cancel