CRMA Internal Audit's Consulting Role 2

Question 1

According to IIA Standards, the nature and scope of consulting services are primarily determined by:

Accepted Answer

Agreement between internal audit and the engagement client

Answer

IIA Standards specify that consulting service scope is agreed upon with the engagement client, distinguishing it from assurance where scope is independently set.

Question 2

Which best distinguishes a consulting engagement from an assurance engagement?

Accepted Answer

In assurance the auditor independently assesses evidence; in consulting the auditor serves the client's stated advisory needs

Answer

Assurance involves independent evidence assessment and an opinion; consulting is advisory service defined by the client's needs.

Question 3

A business unit manager asks internal audit to help design a new vendor onboarding process. This is best classified as:

Accepted Answer

A consulting engagement

Answer

Designing processes is an advisory activity where internal audit serves the client's needs, making it a consulting engagement.

Question 4

Training employees on internal control concepts is an example of which type of consulting activity recognized by the IIA?

Accepted Answer

Training

Answer

Training is explicitly recognized in IIA guidance as a distinct type of consulting service internal audit may provide.

Question 5

When internal auditors perform consulting activities, they are required to maintain:

Accepted Answer

Objectivity, with disclosure of any impairments to independence

Answer

IIA Standards require objectivity in consulting engagements; while full independence may be impaired, auditors must disclose any such impairment.

(CRMA) Certification in Risk Management Assurance Practice Test

(CRMA) Certification in Risk Management Assurance Practice Test

CRMA Internal Audit's Consulting Role 2