Your Answers:

Results for question 1.

1
Which of the following activities is outside the scope of internal auditing?

Ascertaining the extent to which management has established criteria to

determine whether objectives have been accomplished.
, Not Selected

Evaluating risk exposures regarding compliance with policies, procedures, and

contracts.
, Not Selected
Correct answer:

Safeguarding assets.

Evaluating risk exposures regarding compliance with laws and regulations.

, Not Selected
Results for question 2.
2
Control by management is the result of

Ascertaining needs, identifying alternative courses of action, setting standards

for measuring performance, and comparing outcomes with predetermined
standards.
, Not Selected

Determining efficiency and economy of operations, including whether objectives

have been met.
, Not Selected

Authorizing and monitoring performance and comparing actual performance

with planned performance.
, Not Selected
Correct answer:

Planning, organizing, and directing of organizational activities.

Results for question 3.
3
A quality assurance and improvement program of an internal audit activity
provides reasonable assurance that internal auditing work is performed in
accordance with its charter. Which of the following are designed to provide
feedback on the effectiveness of an internal audit activity?
I. Proper supervision. II. Proper training. III. Internal reviews. IV. External
reviews.

I, II, and III only.

, Not Selected

II, III, and IV only.

, Not Selected
Correct answer:

I, III, and IV only.

I, II, III, and IV.

, Not Selected
Results for question 4.
4
Who has primary responsibility for providing information to the board on the
professional and organizational benefits of coordinating internal audit activities
with those of other providers of similar services?

The chief executive officer.

, Not Selected

Each assurance and consulting function.

, Not Selected

The external auditor.

, Not Selected
Correct answer:

The chief audit executive.

Results for question 5.
5
What is the most accurate term for the procedures used by the board to oversee
activities performed to achieve organizational objectives?

Control.
, Not Selected
Correct answer:

Governance.

Monitoring.
, Not Selected

Risk management.
, Not Selected
Results for question 6.
6
The board’s expectations of the internal audit activity regarding the risk
management process is

Reviewed by the internal auditors immediately following a disaster.

, Not Selected

Included in the business continuity plan.

, Not Selected
Correct answer:

Codified in the charters of the internal audit activity and the board.

Noted in the work programs for formal consulting engagement.

, Not Selected
Results for question 7.
7
The internal audit activity has a role in an organization’s governance process.
The internal audit activity most directly contributes to this process by
Evaluating the effectiveness of the risk-management system.
, Not Selected

Promoting continuous improvement of controls.

, Not Selected
Correct answer:

Evaluating the design of ethics-related activities.

Identifying significant exposures to risk.

, Not Selected
Results for question 8.
8
Which of the following is most essential for guiding the internal audit staff?

Position descriptions.
, Not Selected
Correct answer:

Policies and procedures.

Performance appraisals.
, Not Selected

Quality program assessments.

, Not Selected
Results for question 9.
9
Which of the following is not a role of the internal audit activity in best practice
governance activities?

Support the board in enterprise-wide risk assessment.

, Not Selected

Monitor compliance with the corporate code of conduct.

, Not Selected

Discuss areas of significant risks.

, Not Selected
Correct answer:

Ensure the timely implementation of audit recommendations.

Results for question 10.
10
Which of the following best describes the internal audit activity’s purpose in
evaluating the adequacy of risk management, control, and governance processes?

To ensure that material weaknesses in internal control are corrected.

, Not Selected

To help determine the nature, timing, and extent of tests necessary to achieve
engagement objectives.
, Not Selected
Correct answer:

To determine whether the organization’s risk management, control, and

governance processes provide reasonable assurance that management’s
objectives are achieved efficiently and economically.

To determine whether the organization’s risk management, control, and

governance processes ensure that the accounting records are correct and that
financial statements are fairly stated.