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Download Essentials of Internal Auditing Exam Dumps

NEW QUESTION 26
According to NA guidance, which of the following actions by the chief audit executive would best ensure that internal auditors demonstrate due professional care?

• A. Ensuring the internal audit activity reports functionally to the board of directors.
• B. Undertaking all engagements that management requests of the internal audit activity.
• C. Developing policies and procedures for the internal audit activity.
• D. Ensuring the internal audit activity is not found fallible during audit engagements.

Answer: D

NEW QUESTION 27
In publicly held companies, management often requires the internal audit activity's involvement with quarterly financial statements that are made public and used internally. Which of the following is generally not a reason for such involvement?

• A. Management may be concerned about potential penalties that could occur if quarterly financial statements are misstated.
• B. Management may be concerned about its reputation in the financial markets.
• C. Management may perceive that having quarterly financial information examined by the internal auditors enhances its value for internal decision making.
• D. The Standards state that internal auditors should be involved with reviewing quarterly financial statements.

Answer: D

Explanation:
Section: Volume A

NEW QUESTION 28
According to IIA guidance, which of the following are macro-level audit activities performed for an assurance engagement of the purchasing department?
1. Obtain and review all purchasing-related audit reports issued within the past year.
2. Meet with the quality assurance group to discuss its previous reports of any purchasing-related findings.
3. Review a memo written by the purchasing manager that outlines ongoing problems with the purchasing software.
4. Request a copy of the report from a purchasing audit conducted last year by an external service provider.

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

Answer: B

NEW QUESTION 29
An internal auditor is planning an audit of an organization where temporary employees are suspected of receiving pay for hours they have not worked. Which of the following tasks should not be performed at this stage in the audit?

• A. Obtaining a copy of the contract between the organizations and the temporary employment agency.
• B. Interviewing the manager who requested the audit engagement.
• C. Interviewing shift supervisors about their employees' attendance.
• D. Preparing an engagement program.

Answer: C

NEW QUESTION 30
Which of the following best describes the trait that an internal auditor exercises when
considering the extent of work needed to achieve the engagement's objectives?

• A. Due professional care.
• B. Proficiency.
• C. Independence.
• D. Objectivity.

Answer: A

NEW QUESTION 31
......

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