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IIA IAA-IAP Exam Syllabus Topics:

IIA Internal Audit Practitioner Sample Questions:

1. Which of the following best describes a compliance audit engagement?

A) The auditor analyzes the economic activity of the organization as measured and reported using international accounting standards.
B) The auditor reviews controls of the oil shale mining process to assess adherence to safetyregulations established by local authorities.
C) The auditor conducts a review to provide assurance that the external service provider of maintenance for the organization has an effective risk management process.

2. Which of the following is the most appropriate audit objective?

A) Assess compliance with human resources hiring and compensation policies.
B) Evaluate common practices of hiring via interviews with responsible personnel.
C) Analyze the turnover rates in mining and production subsidiaries.

3. Which of the following best explains why internal auditors should identify risk scenarios during a risk assessment of the area being audited?

A) To evaluate the adequacy of management's risk management process in the area being audited.
B) To determine whether established controls are operating effectively to mitigate critical risks.
C) To determine what would prevent the achievement of objectives in the area being audited.

4. Which of the following best ensures that the internal audit activity is free from undue interference from management?

A) Audit policies and procedures that are comprehensive and well-documented, in accordance with the Standards.
B) A board audit committee that is composed of competent, independent members.
C) An audit charter that defines the chief audit executive's functional reporting relationship with the board.

5. A senior internal auditor is using a risk and control matrix to facilitate an internal control assessment of the fixed asset accounting process. Which of the following activities would aid the auditor in determining inputs for the risk and control matrix?

A) Interviews with fixed asset management, control process walkthroughs, and internal control questionnaires.
B) Management's cost-benefit analysis of internal control alternatives considered in the design of the fixed asset accounting process.
C) Reviewing the results of control effectiveness testing of the fixed asset capitalization subprocess.

Solutions: