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IIA Internal Audit Practitioner Sample Questions:

1. The internal audit activity has been tasked with evaluating the effectiveness of the organization's risk management processes. Which of the following activities are appropriate and relevant to consider in the overall evaluation?

A) The chief audit executive's observations of the organization's finance committee
B) An external audit of the organization's corporate social responsibility and sustainability management, including communication of findings to management and the board
C) Evaluation of risk management effectiveness obtained during multiple audit engagements over the past year

2. What is the purpose of establishing engagement objectives during the planning phase of an internal audit?

A) To ensure that the work performed by other internal or external assurance providers is considered during audit planning.
B) To ensure that all auditors have a common understanding of the area being audited.
C) To ensure that audit procedures are designed to address the risks relevant to the area being audited.

3. Which of the following tools would assist with the coordination of efforts between the internal audit team and operational management?

A) Automated workpapers.
B) Control self-assessment.
C) Continuous auditing.

4. During a review of the payroll department, a payroll associate informs the internal auditor, in confidence, that a co-worker is under a great deal of personal stress and has made several uncharacteristic mistakes over the past few weeks. The payroll associate asks the auditor to be sympathetic to the co-worker when drafting the audit findings. If the auditor adjusts the audit findings in consideration of this request, which of the following IIA Code of Ethics principles would be violated?

A) Objectivity and Confidentiality.
B) Integrity and Confidentiality.
C) Integrity and Objectivity.

5. Which of the following creates an opportunity for an employee to commit fraud?

A) Unfair compensation practices
B) The need for money to pay personal medical bills
C) Lack of adequate internal controls

Solutions: