IIA Certification in Risk Management Assurance Sample Questions:

1. Which of the following is considered a violation of The IIA's Code of Ethics?

A) An auditor reports material deficiencies, despite the fact that management is already aware of the defects.
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 conveys public information about an organization's financial condition.

2. An internal auditor is conducting an engagement in the accounts payable department, which includes expressing an opinion at the micro level. According to IIA guidance, which of the following statements is true regarding micro-level opinions?
1. They are most effective when using a combination of current and prior engagement findings to draw conclusions.
2. They typically are based on defined procedures such as those found in an accounts payable reconciliation process.
3. They are discrete and not normally shared with senior management or the board.
4. They can rely on evidence taken from the work of other assurance activities across the organization.

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

3. According to the HA Code of Ethics, which of the following statements best describes the principle of competency?

A) Internal auditors shall perform their work with honesty, diligence, and responsibility.
B) Internal auditors shall be prudent in the use of information acquired while performing their work.
C) Internal auditors shall perform their work in accordance with the Standards.
D) Internal auditors shall perform their work in accordance with the law and make disclosures expected by the law.

4. The manager for an organization's accounts payable department resigned her post in that capacity. Three months later, she was recruited to the internal audit activity and has been working with the audit team for the last eight months. Which of the following assignments would the newly hired internal auditor be able to execute without any impairments to independence or objectivity?

A) A consulting engagement related to a new accounts payable optimization initiative.
B) A review of the employees' sports club finances, which are overseen by the chief audit executive.
C) An assurance review for a sales program on which she previously provided consultation.
D) An operations audit of the accounts payable department.

5. Which of the following is not a role of the internal audit activity in facilitating risk identification and evaluation?

A) Evaluating risk management processes.
B) Providing assurance that risks are evaluated correctly.
C) Recommending accountability for risk management.
D) Supporting managers to identify ways to mitigate risks.

Solutions: