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IIA Certification in Risk Management Assurance Sample Questions:

1. While reviewing the workpapers of a new auditor, the auditor in charge discovered that additional audit procedures might be necessary. According to IIA guidance, which of the following would be most relevant for the auditor in charge to consider when making this decision?

A) Resource management.
B) Coordination.
C) Due professional care.
D) Engagement supervision.

2. According to The MA Global Internal Audit Competency Framework, which of the following areas of training would best assist the internal audit activity in improving its use of tools and techniques?

A) Financial accounting.
B) Project management.
C) Negotiation and conflict resolution.
D) Ethics and fraud.

3. Which of the following is a valid statement about the use of visual observations during an audit engagement?
1. Visual observations can be used to detect ineffective controls, idle resources, and safety hazards.
2. Visual observations can be used during both preliminary survey and fieldwork stages of the audit engagement.
3. Visual observations can provide unsubstantiated facts to management if the internal auditor believes the information is useful.
4. Visual observations can assist an auditor in determining if a material observation should be communicated through informal means to the organization's senior management.

A) 2 and 3 only
B) 3 and 4 only
C) 1 and 4 only
D) 1 and 2 only

4. Which of the following techniques would provide the most compelling evidence that a safety hazard exists within a manufacturing facility?

A) Questioning of facility management, including the facility safety officer.
B) Review of records involving safety violations, filed by facility production employees.
C) Analysis of facility operating reports, focusing on instances when breakdowns occurred.
D) Observation of the facility during operations.

5. According to IIA guidance, which of the following practices by the chief audit executive (CAE) best enhances the organizational independence of the internal audit activity?

A) CAE meets privately with The CEO at least annually.
B) CAE meets privately with The board at least annually.
C) CAE reviews and approves the annual audit plan.
D) CAE reports to the board regarding audit staff performance evaluation and compensation.

Solutions: