IIA IIA-CIA-Part1 Quiz 8 Topic 9 Questions 36-40

Question: 1

A medical insurance provider uses an electronic claims-submission process and suspects that a number of physicians have submitted claims for treatments that were not performed. Which of the following control procedures would be most effective to detect this type of fraud?

ARequire the physician to submit a signed statement attesting that the treatments had been performed.

BSend confirmations to the physicians, requesting them to verify the exact nature of the claims submitted to the insurance provider.

CDevelop an integrated test facility and submit false claims to verify that the system is detecting such claims on a consistent basis.

DUse computer software to identify abnormal claims based on the insured's age and medical history.

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Question: 2

According to IIA guidance, the results of a formal quality assessment should be reported to which of the following groups?

AThe audit committee and senior management.

BThe audit committee and the external auditors.

CSenior management and management of the audited area.

DSenior management and the external auditors.

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Question: 3

According to IIA guidance, which of the following is an area in which the internal auditor should be proficient?

AManagement principles.

BComputerized information systems.

CInternal audit standards, procedures, and techniques.

DFundamentals of accounting, economics, and finance.

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Question: 4

According to IIA guidance, which of the following must internal auditors consider to conform with the requirements for due professional care during a consulting engagement?

1. The cost of the engagement, as it pertains to audit time and expenses in relation to the potential benefits.

2. The needs and expectation of clients, including the nature, timing, and communication of engagement results.

3. The application of technology-based audit and other data analysis techniques, where appropriate.

4. The relative complexity and extent of work needed to achieve the engagement's objectives.

A1, 2, and 3

B1, 2, and 4

C1, 3, and 4

D2, 3, and 4

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Question: 5

A chief audit executive (CAE) is selecting an internal audit team to perform an audit engagement that requires a high level of knowledge in the areas of finance, investment portfolio management, and taxation. If neither the CAE nor the existing internal audit staff possess the required knowledge, which of the following actions should the CAE take?

APostpone the audit until the CAE hires internal audit staff with the required knowledge.

BAsk the audit committee to decide the course of action.

CSelect the most experienced auditors in the department to perform the engagement.

DHire consultants who possess the required knowledge to perform the engagement.

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IIA IIA-CIA-Part1 Quiz:8 Topic:9 Questions:36-40