The internal auditor of a small manufacturer noted that the accounting department has insufficient staff to achieve proper segregation of duties. What type of controls would the auditor likely recommend to management to specifically address this problem?
Which of the following organizations has reached the most mature level of corporate social responsibility?
Which of the following best describes a consulting engagement rather than an assurance engagement?
Which of the following would best preserve the organizational independence of the internal audit activity?
An audit client who was unsatisfied with the audit report rating called the chief audit executive (CAE) and complained that the internal auditor who performed the audit was biased because his spouse, who worked in the area under review, was on a list of employees to be terminated. Which of the following measures would be most appropriate to prevent this situation from arising?
An audit engagement required that an internal auditor, using available tools, test a transaction population for a period The auditor decided to test a sample of transactions rather than the full population.
Results of the audit were reported as satisfactory to management. Subsequent to the audit report, fraud was discovered in the area audited and was found to include transactions that were in the relevant transaction population not tested by the auditor. The auditor later disclosed that he decided to test a sample because it was representative of the population and facilitated quicker testing. Which of the following skills below, if improved, would most likely have prevented this situation?
An existing Internal audit charter is currently under review for revision. Who is responsible for assuring that all required components are included?
While conducting an engagement in the procurement department, the internal auditor noticed that the department head's travel reports showed minor travel expenses, and there were no charges for hotels, meals, or transportation. However, the auditor knew that the department head frequently traveled worldwide to meet with suppliers and visit their production sites. Which of the following would be the most appropriate next step for the auditor?
Management assessed the organization's risk of expanding operations into a new, but volatile, region and began looking for a compatible local partner to manage sales and distribution. Which of the following best describes this risk management technique?
Due to toe increased operational responsibility of the CEO. The chief audit executive (CAE) of an organization currently reports to the chief financial officer (CFO). What is the likely imped of such a situation?
An internal auditor in a busy internal audit activity reviews her continuing professional development records toward the end of the year and is concerned to find she has undertaken limited training and formal professional development. Which of the following actions is the most appropriate for her to take?
Which of the following is most likely to be considered a control weakness?
Which of the following is a strategic risk that internal auditors should consider when performing a third-party risk management engagement?
Senior management purchased surveillance cameras and installed them over a door that provides entry to an area where according to a recent internal audit report, hazardous materials exist and there is a high risk of explosion Which type of control was implemented in this situation?
Which of the following statements represents the most appropriate correlation between an organization's risk maturity and the internal audit activity's consulting role in risk management processes?
