Free IIA IIA-CIA-Part1 Exam Dumps and IIA-CIA-Part1 Exam Questions

Question No: 11

MultipleChoice

A chief audit executive (CAE) has just joined an organization with an existing internal audit activity. Based on her review of the current organizational structure, the CAE determines that the internal audit activity lacks adequate independence. Which of the following actions is the CAE's best step to take next to move the internal audit activity toward organizational independence?

Options

AEnsure the limitations are disclosed through communication with the board and senior management, so that the internal audit activity can continue operating under the same organizational structure.

BRequest that the board restructure the reporting line of the internal audit activity to ensure the CAE has unrestricted access to the board.

CRotate internal audit assignments among members of the internal audit activity to minimize the effects of the current structure.

DTrain internal auditors about organizational independence and have them sign an acknowledgment of understanding.

Question No: 12

MultipleChoice

What is the ultimate goal of establishing a robust risk management framework in an organization?

Options

ATo support the organization's risk culture, involving employees at all levels.

BTo ensure that the organization attains a better financial position.

CTo assist the organization in identifying and mitigating key risks.

DTo facilitate the organization's achievement of business goals and objectives.

Question No: 13

MultipleChoice

Which of the following should be part of the internal audit activity's duties?

Options

AActively reporting to the governing body.

BProviding risk management frameworks.

CAssisting management in developing processes and controls to manage risks and issues.

DIdentifying and mitigating significant risks to the organization.

Question No: 14

MultipleChoice

An electrician visits a client to assess the scope of work. After the visit, the sales office compiles and sends the client a proposal based on the electrician's estimation and approved price list. The internal auditor notices that in the last six months, the number of cancelled proposals has increased substantially. Which of the following is a fraud risk scenario that the auditor should consider in this situation?

Options

ASome electricians may be offering clients opportunities for reduced fees if they pay with cash.

BThere is a new competitor in the area who offers better prices.

CSales representatives may be manipulating the proposals to include additional costs.

DAn unauthorized person may be modifying client data and cancelling the proposals.

Question No: 15

MultipleChoice

Which of the following is a consulting service the internal audit activity can perform with respect to the organization's risk management'?

Options

ADelivering assurance on the risk management system

BFacilitating risk assessment workshops

CEvaluating principal risk reporting

DDeciding on the appropriate risk response

Question No: 16

MultipleChoice

The management team of an agricultural organization has prioritized corporate social responsibility (CSR) initiatives. Which of the following would be considered a CSR activity'?

Options

AOffering a one-off donation to an environmental charity for its expansion efforts

BOrganizing organization volunteers to provide periodic plantation skill sharing to farmers

CProviding special year-end monetary bonuses to the organization's employees at all levels

DArranging a free-of-charge picnic for all of the organization's employees and their family members

Question No: 17

MultipleChoice

Which of the following is a typical characteristic of an organization's risk management framework*?

Options

ARisk tolerance may or may not align with risk appetite depending on whether the assessment is quantitative or qualitative

BRisk is assessed on both an inherent and a residual basis

CThe framework addresses four organizational objective categories strategic, historical, operational, and investment

DExternal risks and internal opportunities are omitted from the risk assessment scope

Question No: 18

MultipleChoice

Which of the following is the best example of an ongoing independent monitoring activity'?

Options

AManagement quality assurance activities

BInternal audit fraud prevention and detection activities

CManagement and supervisory activities

DExternal audit quality assurance activities

Question No: 19

MultipleChoice

An internal auditor was assigned to work in the procurement department for six months to gam m-depth knowledge about the procurement process Which of the following personnel development practices was applied in this situation?

Options

ACosourcing

BInbound rotation

CGuest auditor

DOutbound rotation

Question No: 20

MultipleChoice

According to NA guidance, which of the following corporate sociaf responsibility (CSR) evaluation activities may be performed by

the internal audit activity?

1. Consult on CSR program design and implementation.

2. Serve as an advisor on CSR governance and risk management.

3. Review third parties for contractual compliance with CSR terms.

4. Identify and mitigate risks to help meet the CSR program objectives.

Options

A1,2, and 3,

B1 2, and 4.

C1, 3, and 4.

D2, 3, and 4.

Free IIA-CIA-Part1 Exam Dumps