2025 UPDATED IIA-CIA-PART1 TEST GUIDE ONLINE | ESSENTIALS OF INTERNAL AUDITING 100% FREE EXAM PRACTICE

2025 Updated IIA-CIA-Part1 Test Guide Online | Essentials of Internal Auditing 100% Free Exam Practice

2025 Updated IIA-CIA-Part1 Test Guide Online | Essentials of Internal Auditing 100% Free Exam Practice

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IIA Essentials of Internal Auditing Sample Questions (Q234-Q239):

NEW QUESTION # 234
When taken by a chief audit executive, which of the following actions would be most likely to prevent division exaggerating sales reports?
1) Announcing a series of internal audit engagements focusing on compliance with corporate sales-reporting
2) Asking the president and the board to issue a statement of corporate policy stressing the importance of account reporting and the negative consequences of intentional misreporting.
3) Setting up a hotline for employees to report fraudulent behavior anonymously.
4) Assisting the controller in developing and monitoring a series of business process indicators , which are history with, but independent of sales.

  • A. 2 and 4 only
  • B. 3 and 4 only
  • C. 1 and 2 only
  • D. 2 and 3 only

Answer: D


NEW QUESTION # 235
Which of the following should be implemented to promote independence of the internal audit activity?

  • A. The chief audit executive reports functionally to the board
  • B. Internal auditors do not review an area where they previously worked
  • C. The internal audit charter is reviewed and updated annually
  • D. Management does not influence the consulting services provided by the internal audit activity

Answer: A


NEW QUESTION # 236
An internal auditor for a large bank is reviewing the collectability of a loan that is secured by real property. The best evidence of the loan's collectability would be:

  • A. A recent independent appraisal of the value of the real property.
  • B. A properly completed and signed loan application form.
  • C. The borrower's confirmation of the loan balance.
  • D. A document showing the loan committee's approval of the loan.

Answer: A

Explanation:
Section: Volume C


NEW QUESTION # 237
In which of the following scenarios would the internal auditor's objectivity be best protected?

  • A. An internal auditor writes the system manual for a newly acquired payroll software application prior to conducting an effectiveness review of the system.
  • B. An internal auditor conducts an effectiveness review of an organization's business continuity plan in which his son is a minority stockholder.
  • C. A former human resources manager conducts an effectiveness review of the appointment and termination process six months after transferring to the internal audit activity.
  • D. An accounts payable clerk assists the internal auditors during an effectiveness review of the physical access controls to the server room.

Answer: B


NEW QUESTION # 238
According to IIA guidance, which of the following would be included in an internal audit charter to help establish the authority of the internal audit activity?

  • A. Outline expectations for communicating the results of all aspects of the internal audit activity.
  • B. Document the chief audit executive's (CAE's) reporting line
  • C. Declare the internal audit activity's accountability for safeguarding assets and confidentiality.
  • D. Document agreement between the CAE and the individual to whom the CAE reports

Answer: B


NEW QUESTION # 239
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