IIA IIA-CIA-Part2 Quiz 143 Topic 1 Questions 711-715

Question: 1

Which of the following types of tests is the most persuasive if an internal auditor wants assurance of the existence of inventory stored in a warehouse?

AExamining the shipping documents that support recorded transfers to and from the warehouse.

BObtaining written confirmation from management.

CPhysically observing the inventory in the warehouse.

DExamining warehouse receipts contained in the engagement client's records.

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Question: 2

Documents provide information with differing degrees of persuasiveness. If the engagement objective is to obtain information that payment has actually been made for a specific invoice from a vendor, which of the following documents ordinarily is the most persuasive?

AAn entry in the engagement client's cash disbursements journal supported by a voucher package containing the vendor's invoice.

BA canceled check, made out to the vendor and referenced to the invoice, included in a cutoff bank statement that the internal auditor received directly from the bank.

CAn accounts payable subsidiary ledger that shows payment of the invoice.

DA vendor's original invoice stamped 'PAID' and referenced to a check number.

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Question: 3

An internal auditor at a savings and loan association concludes that a secured real estate loan is collectible. Which of the following engagement procedures provides the most persuasive information about the loan's collectibility?

AConfirming the loan balance with the borrower.

BReviewing the loan file for proper authorization by the credit committee.

CExamining documentation of a recent, independent appraisal of the real estate.

DExamining the loan application for appropriate borrowers' signatures.

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Question: 4

The most persuasive information about the existence of newly acquired computers for the sales department is

AInquiry of management.

BObservation of engagement client's procedures.

CPhysical examination.

DDocumentation prepared externally.

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Question: 5

The most persuasive information regarding the asset value of newly acquired computers is

AInquiry of management.

BObservation of engagement client's procedures.

CPhysical examination.

DDocumentation prepared externally.

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IIA IIA-CIA-Part2 Quiz:143 Topic:1 Questions:711-715