Certified Internal Auditor MCQ Flashcards
7 cards from real Certified Internal Auditor practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Certified Internal Auditor MCQ flashcards as text
According to the IIA Standards, which of the following is the primary responsibility of the board regarding the internal audit activity?
Answer: Overseeing the internal audit activity, including approving the internal audit charter
The board is responsible for oversight of the internal audit activity, which includes approving the audit charter and ensuring its independence.
An internal auditor is asked to consult on the design of a new internal control for a high-risk process. After the consulting engagement, what must the auditor do to preserve objectivity for future assurance work on this area?
Answer: Disclose the consulting role and the potential impairment of objectivity to the CAE
Auditors who consulted on a control design must disclose the potential objectivity impairment to the CAE before conducting assurance work on that area.
Which of the following audit evidence is generally considered most reliable?
Answer: External confirmations obtained directly by the auditor
External confirmations obtained directly by the auditor are most reliable because they are independent of the auditee.
A CIA candidate is reviewing IT general controls (ITGCs). Which of the following is an example of an ITGC?
Answer: User access management and periodic access recertification
User access management and recertification are IT general controls that provide a foundation for the reliability of all application controls.
During a fraud investigation, the internal auditor discovers evidence of possible criminal activity. What is the auditor's most appropriate immediate action?
Answer: Notify appropriate authorities within the organization and consider involving legal counsel
Upon discovering potential criminal activity, the auditor should notify appropriate management and legal counsel rather than acting unilaterally.
Which of the following best distinguishes a 'preventive' control from a 'detective' control?
Answer: Preventive controls stop errors or fraud before they occur; detective controls identify them after the fact
Preventive controls act before an event to stop errors or fraud, while detective controls identify problems after they have occurred.
An internal auditor is performing a governance audit. Which of the following activities falls within the scope of governance evaluation?
Answer: Evaluating whether the board effectively oversees organizational strategy and ethical culture
Governance audits evaluate the structures and processes by which the board provides oversight of strategy, risk, and ethical culture.