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IIA Certification in Risk Management Assurance Sample Questions:

1. The chief audit executive (CAE) has assigned an internal auditor to an upcoming engagement. Which of the following requirements would most likely indicate that the internal auditor was assigned to an assurance engagement?

A) The assigned internal auditor must determine the objectives, scope, and techniques of the engagement.
B) The assigned internal auditor must maintain objectivity while performing the engagement.
C) The CAE must personally obtain the needed skills, knowledge, or other competencies if the internal auditor does not have them.
D) The assigned internal auditor must not assume management responsibilities while performing the engagement.

2. According to IIA guidance, which of the following statements is true when an internal auditor performs consulting services that improve an organization's operations?

A) The services must not be performed by the same internal auditor who performed assurance services, in order to maintain objectivity.
B) The services must be aligned with those defined in the internal audit charter.
C) The services may preclude assurance services from the consulting engagement.
D) The services impose no responsibility to communicate information other than to the engagement client.

3. Which of the following actions best demonstrates that an internal auditor is exercising due professional care?

A) The auditor is cognizant of reducing travel expenses by combining a personal vacation with a business trip.
B) The auditor recommends improvements for all of the organization's procedures and practices.
C) The auditor performs thorough reviews and provides absolute assurance of regulatory compliance.
D) The auditor is alert to the possibility of fraud and activities where irregularities are most likely to occur.

4. A chief audit executive (CAE) learns that the brother-in-law of a senior auditor who audits the procurement process was hired as the head of the procurement department six months prior. Which of the following is the most appropriate action for the CAE to take?

A) The CAE should not interfere because there is no evidence that a conflict of interest has occurred.
B) The CAE should remind the senior auditor of his obligation to be objective and impartial.
C) The CAE should change the senior auditor's assignment and take corrective action for the auditor's failure to disclose the conflict of interest.
D) The CAE should require the senior auditor to disclose the relationship in writing before continuing his responsibility for monitoring procurement.

5. A large trucking organization wants to reduce traffic accidents by improving its system of internal controls.
Which of the following controls is correctly classified?
1. Review of speeding violations to identify repetitive locations and drivers is an example of a preventive control.
2. Defensive driver training is an example of a directive control.
3. The installation of tracking devices in delivery vehicles is an example of a corrective control.
4. Providing a vehicle driver handbook is an example of a detective control.

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

Solutions: