Free Practice Questions for IIA CPEA Exam

Question 1

A well designed Internal Control Questionnaire (ICQ) should incorporate the following Except:

ABe a sufficient source of data for the evaluation of internal controls

BIdentity the internal control system's strengths and weaknesses

CBe organized by individual functional organizations

DShould include simple yes or no responses but no narrative responses

Correct Answer: D. Should include simple yes or no responses but no narrative responses

Question 2

Environmental legislation arose in part due to:

AIneffective solutions at common law

BUnsatisfactory requirements for individuals to accept responsibility for environmental issues

CA need to shift the responsibility for pollution to the person causing the environmental damage

DAll of the above

Correct Answer: D. All of the above

Question 3

Environmental auditing has been developed for sound business reasons, particularly as a means:

ATo help manage resources control affirmatively over time instead of reacting to crises

BTo help manage population control affirmatively over time instead of reacting to crises

CTo help manage pollution control affirmatively over time instead of reacting to crises

DTo help manage fuel shortage control affirmatively over time instead of reacting to crises

Correct Answer: C. To help manage pollution control affirmatively over time instead of reacting to crises

Question 4

A third party audit would always be expected to be:

AExternal

BConducted by a consultant

CConducted during the execution phase of a contract

DConducted by an independent source

Correct Answer: D. Conducted by an independent source

Question 5

Which one of the following is the source document for staff salaries?

AApproved payrolls

BVouchers

CAccounting statements

DCash memos

Correct Answer: A. Approved payrolls

Question 6

Most in-house audits should be conducted by:

AOutside third party consultants

BCustomer auditors

CCompany auditors from the audited departments

DIndependent company auditors

Correct Answer: D. Independent company auditors

Question 7

Objective evidence can only be expressed via:

AThe lead auditor's credentials

BVerifiable qualitative observations

CStatements of fact

DVerifiable quantitative observations

Correct Answer: C. Statements of fact

Question 8

A quality assessment, when compared to a quality audit, is:

AVirtually the same thing

BPerformed only during the contract phase

CLess formal

DBroader in scope

Correct Answer: C. Less formal

Question 9

The audit program is structured; roles and responsibilities should be defined for each of the participant categories. These categories include all of the following Except:

ASenior or executive management

BThe audit program manager and staff

CThe legal department

DFunctional management

Correct Answer: D. Functional management

Question 10

The Kyoto Protocol:

AIs a commitment by Canada and other countries to reduce greenhouse gas emissions

BIs part of the United Nations Convention on climate change?

CIs part of an international effort to protect the environment?

DAll of the above

Correct Answer: D. All of the above