IIA IIA-CIA-Part2 Quiz 2 Topic 5 Questions 6-10

Question: 1

An internal auditor is assigned to conduct an audit of security for a local area network (LAN) in the finance department of the organization. Investment decisions, including the use of hedging strategies and financial derivatives, use data and financial models which run on the LAN. The LAN is also used to download data from the mainframe to assist in decisions. Which of the following should be considered outside the scope of this security audit engagement?

AInvestigation of the physical security over access to the components of the LAN.

BThe ability of the LAN application to identify data items at the field or record level and implement user access security at that level.

CInterviews with users to determine their assessment of the level of security in the system and the vulnerability of the system to compromise.

DThe level of security of other LANs in the company which also utilize sensitive data.

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Question: 2

Which of the following situations might allow an employee to steal checks sent to an organization and subsequently cash them?

AChecks are not restrictively endorsed when received.

BOnly one signature is required on the organization's checks.

COne employee handles both accounts receivable and purchase orders.

DOne employee handles both cash deposits and accounts payable.

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Question: 3

The most effective way for internal auditors to enhance the reliability of computerized financial and operating information is by:

ADetermining if controls over record keeping and reporting are adequate and effective.

BReviewing data provided by information systems to test compliance with external requirements.

CDetermining if information systems provide management with timely information.

DDetermining if information systems provide complete information.

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Question: 4

Which of the following procedures would provide the best evidence of the effectiveness of a credit-granting function?

AObserve the process.

BReview the trend in receivables write-offs.

CAsk the credit manager about the effectiveness of the function.

DCheck for evidence of credit approval on a sample of customer orders.

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Question: 5

During an operational audit of a chain of pizza delivery stores, an auditor determined that cold pizzas were causing customer dissatisfaction. A review of oven calibration records for the last six months revealed that adjustments were made on over 40 percent of the ovens. Based on this, the auditor:

AHas enough evidence to conclude that improperly functioning ovens are the cause.

BNeeds to conduct further inquiries and reviews to determine the impact of the oven variations on the pizza temperature.

CHas enough evidence to recommend the replacement of some of the ovens.

DMust search for another cause since approximately 60 percent of the ovens did not require adjustment.

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IIA IIA-CIA-Part2 Quiz:2 Topic:5 Questions:6-10