IIA IIA-CIA-Part2 Quiz 87 Topic 1 Questions 431-435

Question: 1

An engagement to evaluate a transportation department is being conducted. Review procedures include an analysis of "rush shipment" requests. The engagement objective in this case is the

AFinancial settlement of the rush shipment.

BTransportation arrangements to be used for rush shipments.

CDetermination of the need for rush shipment services.

DHandling of claims for undelivered rush shipment goods.

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Question: 2

An internal auditor is conducting an audit of environmental protection and alarm devices. Which is the most significant objective of such an assignment? To determine whether

AThe devices are installed and operating properly.

BThe costs of the devices were properly recorded.

CThe device specification documents are complete.

DAcquisitions and disposals are properly authorized.

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Question: 3

What type of audit assesses the environmental risks and liabilities of land or facilities prior to a property transaction?

APollution prevention audit.

BCompliance audit.

CTransactional audit.

DProduct audit.

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Question: 4

A program-results engagement

AObtains information about the costs of the program.

BAttempts to measure accomplished and success of the program.

CConcerns the ability to measure the effectiveness of the program.

DAll of the answers are correct.

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Question: 5

A sales department has been giving away expensive items in conjunction with new product sales to stimulate demand. The promotion seems successful, but management believes the cost may be too high and has asked for a review by the internal audit activity. Which of the following procedures would be the least useful to determine the effectiveness of the promotion?

AComparing product sales during the promotion period with sales during a similar nonpromotion period.

BComparing the unit cost of the products sold before and during the promotion period.

CPerforming an analysis of marginal revenue and marginal cost for the promotion period, compared to the period before the promotion.

DPerforming a review of the sales department's benchmarks used to determine the success of a promotion.

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IIA IIA-CIA-Part2 Quiz:87 Topic:1 Questions:431-435