2024 Updated Verified IIA-CIA-Part2 Downloadable Printable Exam Dumps
The Ultimate IIA IIA-CIA-Part2 Dumps PDF Review
IIA-CIA-Part2 certification exam consists of 100 multiple-choice questions and is administered over a period of 2.5 hours. IIA-CIA-Part2 exam covers a wide range of topics, including risk management, governance, internal control, and audit planning and execution. Candidates must possess a minimum of two years of experience in internal auditing or a related field before they can take the exam. Upon passing the exam, candidates are awarded the IIA-CIA-Part2 certification, which is valid for three years. To maintain the certification, candidates must complete ongoing professional education and adhere to the IIA's code of ethics.
NEW QUESTION # 113
The most common motivation for management fraud is the existence of:
- A. The challenge of committing the perfect crime.
- B. Financial pressures on the organization.
- C. Job dissatisfaction.
- D. Vices, such as a gambling habit.
Answer: B
NEW QUESTION # 114
While performing a follow-up of a concern about equipment-inventory tracking, which course of action is not necessary for the auditor to take?
- A. Ensure that the inherent risk has been eliminated as a result of resolving the issue.
- B. Ensure that the steps being taken resolve the condition disclosed by the initial finding.
- C. Ensure that controls have been implemented to prevent the issue from occurring again.
- D. Ensure that the entity has begun to experience benefits as a result of resolving the issue.
Answer: A
NEW QUESTION # 115
An internal auditor determines that certain information from the engagement results is not appropriate for disclosure to all report recipients because it is privileged. In this situation, which of the following actions would be most appropriate?
- A. Distribute the information in a confidential report to the board only.
- B. Exclude the results from the report and verbally report the conditions to senior management and the board.
- C. Disclose the information in a separate report.
- D. Distribute the reports through the use of blind copies.
Answer: C
NEW QUESTION # 116
When conducting audit follow-up of a finding related to cash management routines, an internal auditor would expect to find that all of the following changes have occurred except:
- A. Benefits have accrued to the entity as a result of resolving the condition.
- B. Inherent risk has been eliminated as a result of resolution of the condition.
- C. Controls have been implemented to deter or detect a recurrence of the finding.
- D. The steps being taken are resolving the condition disclosed by the finding.
Answer: B
Explanation:
Section: Volume B
NEW QUESTION # 117
Which of the following statements is false regarding audit criteria?
- A. Audit criteria should represent reasonable standards against which to assess existing conditions.
- B. Audit criteria should be consistent across audit assignments.
- C. Audit criteria should equate to good or acceptable management practices.
- D. Audit criteria should provide flexibility but allow identification of nonadherence.
Answer: B
NEW QUESTION # 118
Due to a recent system upgrade, an audit is planned to test the payroll process. Which of the following audit objectives would be most important to prevent fraud?
- A. Verify that amounts are correct.
- B. Verify that payments are on time.
- C. Verify that recipients are valid employees.
- D. Verify that benefits deductions are accurate.
Answer: C
NEW QUESTION # 119
In advance of a preliminary survey, a chief audit executive sends a memorandum and questionnaire to the supervisors of the department to be audited. What is the most likely result of that procedure?
- A. It is only useful for audits of distant locations.
- B. It is an uneconomical approach to obtaining information.
- C. It creates apprehension about the audit engagement.
- D. It involves the engagement client's supervisory personnel in the audit.
Answer: D
NEW QUESTION # 120
Which of The following best describes a risk that is deemed "unacceptable" to the organization?
- A. A risk where inherent risk exceeds the tolerance level
- B. A risk where likelihood and impact are high
- C. A risk where residual risk exceeds the tolerance level
- D. A risk where inherent risk exceeds its residual risk
Answer: C
NEW QUESTION # 121
Which of the following is a responsibility of the internal auditor once a fraud investigation has been concluded?
- A. Implement controls to prevent future occurrences.
- B. Notify the appropriate regulatory authorities regarding the outcome of the investigation.
- C. Ascertain the extent to which fraud has been perpetrated.
- D. Determine if controls need to be implemented or strengthened to reduce future vulnerability.
Answer: D
NEW QUESTION # 122
Which of the following events would most likely cause the chief audit executive to consider changing the current year's audit plan?
The government announced that new regulatory requirements will be introduced in the coming years which may significantly impact the organization's primary product.
A major competitor unexpectedly introduced a new model at a lower price point to compete with the organization's market leading product.
The organization announced a new joint venture with a long time corporate partner to introduce a new product with development costs and sales beginning next fiscal year.
An equal joint venture partner filed a lawsuit against the organization and requested that the court issue an immediate suspension of future product shipments.
- A. 1 and 3 only
- B. 1 and 2 only
- C. 2 and 4 only
- D. 3 and 4 only
Answer: C
NEW QUESTION # 123
After completing a net present value (NPV) calculation on a proposed project, an analyst explores the change in NPV with changes in the interest rate. This additional analysis is referred to as:
- A. Simulation.
- B. Sensitivity analysis.
- C. Variance analysis.
- D. Decision analysis.
Answer: B
NEW QUESTION # 124
During the planning phase of an audit of the treasury function, an internal auditor conducted a risk assessment of the function in order to:
- A. Identify areas of the treasury function that should be considered for potential engagement objectives.
- B. Comply with the internal audit charter and applicable regulatory requirements.
- C. Determine whether appropriate resources are present to carry out the treasury function.
- D. Report any high-risk exposures of the treasury function to management and the board.
Answer: A
NEW QUESTION # 125
Which of the following statement is consistent with IIA guidance the use of mentoring for internal auditors?
- A. The mentor relationship is usually not suitable for internal audit staff, as it does not leas to professional development.
- B. The value of mentoring is derived primarily from the personal relationship between the two parties involved, and the mentor's level of relevant experience should not be a key factor.
- C. The member and the internal auditor should opt for informal meetings even if it means that no formal documentation will be created.
- D. The mentor should be the internal auditor's supervisor to ensure that the auditor performance is assessed in a relevant and meaningful context.
Answer: D
NEW QUESTION # 126
Which of the following best describes the primary concern of the audit manager upon review of engagement working papers of an auditor?
- A. To ensure adequate control over the custody of working papers is exercised by the auditor.
- B. To ensure that as part of the documentation the auditor collected original documents that can corroborate the audit findings.
- C. To ensure that the work papers create background for subsequent reviews.
- D. To ensure that the audit programs are followed by the auditor.
Answer: D
NEW QUESTION # 127
An audit department has received anonymous information that an employee has allegedly been able to steal and cash checks sent to the organization by customers. What is the most efficient way for an auditor to determine how this type of fraud could occur and who might be the perpetrator?
- A. Review the endorsements and banks of deposit on customers' canceled checks.
- B. Confirm accounts payable.
- C. Flowchart and analyze key controls in the cash receipts process.
- D. Confirm accounts receivable.
Answer: C
NEW QUESTION # 128
Questions used to interrogate individuals suspected of fraud should:
- A. Adhere to a predetermined order.
- B. Move from general to specific.
- C. Direct the individual to a desired answer.
- D. Cover more than one subject or topic.
Answer: B
Explanation:
Section: Volume B
NEW QUESTION # 129
A chief audit executive (CAE) received a detailed internal report of senior management's internal control assessment. Which of the following subsequent actions by the CAE would provide the greatest assurance over management's assertions?
- A. Assess whether senior management adequately supports and promotes the internal control culture described in the report.
- B. Assert whether the described and reported control processes and systems exist.
- C. Evaluate the completeness of the report and management's responses to identified deficiencies.
- D. Determine whether management's operating style and the philosophy described in the report reflect the effective functioning of internal controls.
Answer: C
NEW QUESTION # 130
An organization's board would like to establish a formal risk management function and has asked the chief audit executive (CAE) to be involved in the process. According to IIA guidance, which of the following roles should the CAE not undertake?
- A. Accept management's responsibility for risk management without board approval.
- B. Become involved in risk oversight committees, monitoring activities, and status reporting.
- C. Audit risk management processes.
- D. Manage and coordinate risk management processes.
Answer: A
NEW QUESTION # 131
Which of the following types of internal audit consulting engagements is an example of a facilitation service?
I.Conducting control self-assessment workshops.
II.
Participating on standing committees.
III.
Reviewing regulatory compliance.
IV.
Benchmarking.
Estimating savings from outsourcing processes.
- A. I and IV only.
- B. I, III, and IV only.
- C. II, III, and V only.
- D. I, II, III, IV, and V.
Answer: A
NEW QUESTION # 132
The chief audit executive of a large publicly held bank is using a risk based approach to update the annual audit plan. Which of the following sources of information will have the least impact on the plan?
- A. Regulatory changes impacting capitalization for all publicly traded banks.
- B. Continuous changes in the prime lending rate set by the country's central bank.
- C. Recent changes to the bank's strategic plan.
- D. The 12 month forecast of commercial property values.
Answer: B
NEW QUESTION # 133
Which of the following is used to identify and prioritize critical business applications to determine those that must be restored and the order of restoration in the event that a disaster impairs information systems processing?
- A. Contingent facility contract analysis.
- B. Vendor supply agreement analysis.
- C. Risk analysis.
- D. System backup analysis.
Answer: C
NEW QUESTION # 134
What type of analysis is performed when an auditor tests for unusual variations in information by comparing the number of employees working at a factory site with the direct cost of production each month over a period of one year?
- A. Regression analysis.
- B. Horizontal analysis.
- C. Trend analysis.
- D. Ratio analysis.
Answer: A
NEW QUESTION # 135
An employee in the sales department completes a purchase requisition and forwards it to the purchaser. The purchaser places competitive bids and orders the requested items using approved purchase orders. When the employee receives the ordered items, she forwards the packing slips to the accounts payable department. The invoice for the ordered items is sent directly to the sales department, and an administrative assistant in the sales department forwards the invoices to the accounts payable department for payment. Which of the following audit steps best addresses the risk of fraud in the cash receipts process?
- A. Verify that approvals of purchasing documents comply with the authority matrix.
- B. Examine whether the sales department supervisor approves invoices for payment.
- C. Determine whether the accounts payable department reconciles all purchasing documents prior to payment.
- D. Observe whether the purchase orders are sequentially numbered.
Answer: B
NEW QUESTION # 136
......
IIA-CIA-Part2 (Practice of Internal Auditing) Certification Exam is a comprehensive certification that provides individuals with a competitive edge in the field of internal auditing. IIA-CIA-Part2 exam covers a broad range of topics and is designed to test the candidate's knowledge of the internal auditing profession. Practice of Internal Auditing certification is highly respected in the profession and is recognized globally, making it a valuable asset for individuals seeking employment opportunities in the field of internal auditing.
IIA-CIA-Part2 certification exam is designed for professionals who are looking to enhance their skills and knowledge of internal auditing practices. Practice of Internal Auditing certification exam is offered by the Institute of Internal Auditors (IIA) and is the second part of the Certified Internal Auditor (CIA) program. The IIA-CIA-Part2 exam focuses on the practice of internal auditing and covers topics such as risk management, internal control, and fraud detection.
Achive your Success with Latest IIA-CIA-Part2 Exam: https://www.passleader.top/IIA/IIA-CIA-Part2-exam-braindumps.html
Achieve The Utmost Performance In IIA-CIA-Part2 Exam Pass Guaranteed: https://drive.google.com/open?id=15ncBjk9m5WTibcYrVxRyMWhKIr1eIlWR