IIA Practice of Internal Auditing - IIA-CIA-Part2 Exam Practice Test

While reviewing warehouse inventory records, an internal auditor noticed that the warehouse has a surprisingly high number of products in storage. Over the past three years, the auditor had visited this particular warehouse numerous times for previous engagements and remembered that the warehouse was rather small. The auditor then decided to compare the square footage of the warehouse to the recorded number of products in storage. The auditor's action is an example of which of the following?

Which of the following steps should an internal auditor complete when conducting a review of an electronic data interchange application provided by a third-party service?
Ensure encryption keys meet ISO standards.
Determine whether an independent review of the service provider ' s operation has been conducted.
Verify that the service provider's contracts include necessary clauses.
Verify that only public-switched data networks are used by the service provider.

A rapidly expanding retail organization continues to be tightly controlled by its original small management team. Which of the following is a potential risk in this vertically centralized organization?

An internal auditor determines that certain information from the engagement results is not appropriate for disclosure to all report recipients because it is privileged. In this situation, which of the following actions would be most appropriate?

The internal audit function is performing an assurance engagement on the organization's environmental, social, and governance (ESG) program. The engagement objective is to determine whether the ESG program' s activities are meeting the program's established goals. The internal audit function has completed a risk and control assessment of the ESG program ' s activities. What is the appropriate next step?

Which of the following describes (he primary reason why a preliminary risk assessment is conducted during engagement planning?

According to IIA guidance, which of the following are the most important objectives for helping to ensure the appropriate completion of an engagement?
1. Coordinate audit team members to ensure the efficient execution of all engagement procedures.
2. Confirm engagement workpapers properly support the observations, recommendations, and conclusions.
3. Provide structured learning opportunities for engagement auditors when possible.
4. Ensure engagement objectives are reviewed for satisfactory achievement and are documented properly.

According to IIA guidance, which of the following statements is true regarding audit workpapers?

Which of the following is one of the differences between probability-proportional-to-size (PPS) and attribute sampling?

Which of the following is not a direct benefit of control self-assessment (CSA)?

The internal auditors available to perform the engagement do not have sufficient skills related to the area under review. Which of the following iss an appropriate action for the chief audit executive to take?