IIA IIA-CIA-Part1 Quiz 19 Topic 4 Questions 91-95

Question: 1

Which of the following is an example of collusion?

AAn employee includes a faked receipt in his expense claim, and the claim is signed by the employee's manager.

BA vendor inflates the price of an item and remits a portion of the excess to the purchasing manager.

CA vendor sends a duplicate invoice with a new invoice number, and the accounts payable system fails to detect the duplication.

DAn employee works with the IT manager to develop a program for identifying duplicate invoice payments.

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Question: 2

Which of the following behaviors could represent a significant ethical risk if exhibited by an organization's board?

ARequesting a private meeting with senior management, without the presence of the chief audit executive.

BIntervening during an audit involving ethical wrongdoing.

CDiscussing periodic reports of ethical breaches.

DAuthorizing an investigation of an unsafe product.

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Question: 3

According to COSO, which of the following describes a principle related to the control environment?

AThe organization identifies and assesses changes that could significantly impact the system of internal control.

BThe organization establishes appropriate authorities and responsibilities in the pursuit of objectives.

CThe organization selects and develops control activities that contribute to the mitigation of risks.

DThe organization performs evaluations to ascertain whether internal control components are present and functioning.

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Question: 4

Which of the following factors have the greatest influence on the independence of the internal audit activity?

AQuality assessments and cultural biases of the internal audit activity.

BRotational assignments and familiarity of the internal audit activity.

CEmployee incentives and self review of the internal audit activity.

DOrganizational positioning and scope control of the internal audit activity.

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Question: 5

A new internal audit activity is creating its first charter. According to IIA guidance, which of the following objectives would be appropriate for inclusion in the charter?

AContinuously monitor the organization's overall risk activities in relation to its risk appetite.

BEvaluate the adequacy and effectiveness of the organization's governance activities.

COversee the establishment and administration of an effective risk management program.

DAssist management in implementing recommended control improvements.

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IIA IIA-CIA-Part1 Quiz:19 Topic:4 Questions:91-95