IIA-CIA-Part2 PDF Dumps Real 2024 Recently Updated Questions [Q84-Q107]

November 30, 2024 IIA-CIA-Part2, IIA 0 Comments

IIA-CIA-Part2 PDF Dumps Real 2024 Recently Updated Questions [Q84-Q107]

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IIA-CIA-Part2 PDF Dumps Real 2024 Recently Updated Questions

Released IIA IIA-CIA-Part2 Updated Questions PDF

IIA-CIA-Part2 (Practice of Internal Auditing) Exam is a certification offered by the Institute of Internal Auditors (IIA) for professionals seeking to validate their skills and knowledge in the practice of internal auditing. IIA-CIA-Part2 exam is one of three parts required to obtain the Certified Internal Auditor (CIA) designation, which is globally recognized as the hallmark of excellence in the internal auditing profession.

QUESTION 84
At the conclusion of an audit of an organization’s treasury department, a report was issued to the treasurer, chief financial officer, president, and board. Because of the sensitivity of some findings, a follow-up review was performed. The auditor should provide the report of follow-up findings to the.
I. Treasurer.
II. Chief financial officer.
III. President.
IV.
Board.

I and II only

III and IV only

I, II, and III only

I, II, III, and IV.

QUESTION 85
Internal control questionnaires are used to achieve which of the following objectives?

To ascertain the operating effectiveness of a procedure

To verify the accuracy of Information in a report

To assess the controls mitigating major risks

To determine whether specified contra procedures are in place

QUESTION 86
An internal auditor is reviewing purchases made through the organization’s corporate credit card program.
Which of the following statements best describes a root cause of a deficiency?

A personal computer was purchased from a non-approved vendor.

Company policy limits card use to $500 per transaction.

A control to detect split purchases has not been activated in the credit card system.

Sample testing found 10% non-compliance with the organization’s business travel policy.

QUESTION 87
An internal auditor tested whether purchase orders were supported by appropriately approved purchase requisitions She sampled a population of purchase documents and identified instances where purchase requisitions were missing However, she did not notice that n some cases purchase requisitions were approved by an unauthorized person Which of the following risks most appropriately describes this situation?

Nonsampling risk

Sampling risk

Inherent risk

Due diligence risk

QUESTION 88
A chief audit executive (CAE) determined that management chose to accept a high-level risk that may be unacceptable lo the organization. Which is the best course of action for the CAE to Follow?

Include using in a subsequent audit to determine if the risks are still present

Discuss the matter with senior management and it not reserved with the board

Require that management implement controls to mitigate lie risks

Report the risks to the process owners so that they can modify their process

QUESTION 89
An audit identified a number of weaknesses in the configuration of a critical client/server system. Although some of the weaknesses were corrected prior to the issuance of the audit report, correction of the rest will require between 6 and 18 months for completion. Consequently, management has developed a detailed action plan, with anticipated completion dates, for addressing the weaknesses. What is the most appropriate course of action for the chief audit executive to take?

Assess the status of corrective action during a follow-up audit engagement after the action plan has been completed.

Assess the effectiveness of corrections by reviewing statistics related to unplanned system outages, and denials of service.

Reassign information systems auditors to assist in implementing management’s action plan.

Evaluate the ability of the action plan to correct the weaknesses and monitor key dates and deliverables.

QUESTION 90
Which of the following should be included in a privacy audit engagement?
1. Assess the appropriateness of the information gathered.
2. Review the methods used to collect information.
3. Consider whether the information collected is in compliance with applicable laws.
4. Determine how the information is stored.

1 and 3 only

2 and 4 only

1, 3, and 4 only

1, 2, 3, and 4

QUESTION 91
When establishing the internal audit activity’s annual plan, which of the following would be the best source of potential audit engagement topics?

The organization’s budget.

Operations involving cash transactions.

Recent changes in management objectives.

Risk factors utilized in the organization’s risk models.

QUESTION 92
If the chief audit executive believes that senior management has accepted a level of residual risk that is unacceptable to the organization, they should:

Accept the decision of senior management as they are ultimately responsible for risk management.

Report the concern directly to the board.

Discuss the concern with management and if not resolved, escalate it to the board.

Disclose the issue in the audit report when auditing the area where the risk was identified.

QUESTION 93
What is the most important risk in determining the validity of construction delay claims?

Contractor claims may be submitted prior to completion of the work.

Contractor claims may include costs considered in the fixed-price portion of the work.

Contractor claims may include subcontractor estimates of balances due to the subcontractor.

Contractor claims may be understated.

QUESTION 94
A payroll clerk enters payroll transactions into the general ledger. The staff accountant reconciles the payroll ledgers. The payroll manager issues the manual payroll checks. The checks are maintained in a locked cabinet. The chief financial officer secures the keys to the cabinet. The payroll clerk distributes the manual checks.
The payroll manager reconciles the bank statements monthly. Which of the following audit steps best addresses the risk of fraud in the payroll process?

Examine whether the payroll manager approves the reconciliations of ledgers.

Determine whether an approved list of voided checks exists.

Determine whether the cabinet keys are secured properly.

Vouch a sample of items on bank reconciliations to supporting documentation.

QUESTION 95
When approving the final engagement report, which of the following is most critical?

Opinions are adequately supported.

Conclusions are reached for all objectives.

Report is distributed to appropriate parties.

Report is clear and concise.

QUESTION 96
Which of the following actions are appropriate for the chief audit executive to perform when identifying audit resource requirements?
1.Consider employees from other operational areas as audit resources, to provide additional audit coverage in the organization.
2.Approach an external service provider to conduct internal audits on certain areas of the organization, due to a lack of skills in the organization.
3.Suggest to the audit committee that an audit of technology be deferred until staff can be trained, due to limited IT audit skills among the audit staff.
4.Communicate to senior management a summary report on the status and adequacy of audit resources.

1 and 3 only

2 and 4 only

1, 2, and 4

2, 3, and 4

QUESTION 97
An audit identified a number of weaknesses in the configuration of a critical client/server system. Although some of the weaknesses were corrected prior to the issuance of the audit report, correction of the rest will require between 6 and 18 months for completion. Consequently, management has developed a detailed action plan, with anticipated completion dates, for addressing the weaknesses. What is the most appropriate course of action for the chief audit executive to take?

Assess the status of corrective action during a follow-up audit engagement after the action plan has been completed.

Assess the effectiveness of corrections by reviewing statistics related to unplanned system outages, and denials of service.

Reassign information systems auditors to assist in implementing management’s action plan.

Evaluate the ability of the action plan to correct the weaknesses and monitor key dates and deliverables.

QUESTION 98
Which of the following sources of testimonial evidence would be considered the most reliable regarding whether a process is effectively performed according to its design?

The person responsible for performing the task

Two or more people that work in the area

The supervisor in charge of the process

The manager that wrote the steps to be followed

QUESTION 99
Direct staff as a percentage of total staff is an example of which of the following types of efficiency measures?

Productivity ratio.

Productivity index.

Operating ratio.

Resource utilization rate.

QUESTION 100
Which of the following statements is true regarding engagement planning?

The engagement objectives are the boundaries for the engagement, which outline what will be included in the review

The risk-based objectives of the engagement can be determined once the scope of the engagement has been formed

For a consulting engagement, planning typically occurs after the engagement objectives and scope have already been determined

For an assurance engagement, once the scope is established and testing has begun, the scope cannot be modified.

QUESTION 101
Which of the following is an effective approach for internal auditors to take to improve collaboration with audit clients during an engagement?
1.Obtain control concerns from the client before the audit begins so the internal auditor can tailor the scope accordingly.
2.Discuss the engagement plan with the client so the client can understand the reasoning behind the approach.
3.Review test criteria and procedures where the client expresses concerns about the type of tests to be conducted.
4.Provide all observations at the end of the audit to ensure the client is in agreement with the facts before publishing the report.

1 and 2 only

1 and 4 only

2 and 3 only

3 and 4 only

QUESTION 102
Which of the following manual audit approaches describes testing the validity of a document by following it backward to a previously prepared record?

Tracing

Reperformance

Vouching

Walkthrough

QUESTION 103
Which of the following statements is true pertaining to interviewing a fraud suspect?
1. Information gathered can be subjective as well as objective to be useful.
2. The primary objective is to obtain a voluntary written confession.
3. The interviewer is likely to begin the interview with open-ended questions.
4. Video recordings always should be used to provide the highest quality evidence.

1 only

4 only

1 and 3

2 and 4

QUESTION 104
Which of the following best describes how an internal auditor would use a flowchart during engagement planning?

To prepare for testing the effectiveness of controls

To plan for evaluating potential losses

To prepare a sampling plan for the engagement

To evaluate the design of controls

QUESTION 105
An internal auditor for a financial institution has just completed an audit of loan processing. Of the 81 loans approved by the loan committee, the auditor found seven loans which exceeded the approved amount. Which of the following actions would be inappropriate on the part of the auditor?

Examine the seven loans to determine if there is a pattern. Summarize amounts and include in the engagement final communication.

Report the amounts to the loan committee and leave it up to them to correct. Take no further follow-up action at this time and do not include the items in the engagement final communication.

Follow up with the appropriate vice president and include the vice president’s acknowledgment of the situation in the engagement final communication.

Determine the amount of the differences and make an assessment as to whether the dollar differences are material. If the amounts are not material, not in violation of government regulations, and can be rationally explained, omit the observation from the engagement final communication.

QUESTION 106
What would be used to determine the collectability of accounts receivable balances?

The file of related shipping documents.

Negative accounts receivable confirmations.

Positive accounts receivable confirmations.

An aged accounts receivable listing.

QUESTION 107
What is the primary purpose of creating a preliminary draft audit report?

To save time during final report writing

To meet the Standards requirement for developing a draft report prior to issuing a final report

To use as a tool for communicating with management of the area under review.

To require that management implements solutions to issues identified during the engagement