2023 Latest IIA-CIA-Part2 DUMPS Q&As with Explanations Verified & Correct Answers
IIA-CIA-Part2 dumps Exam Material with 360 Questions
IIA-CIA-Part2 Exam consists of 100 multiple-choice questions and is timed for two and a half hours. The questions are divided into six domains, with weights assigned to each domain based on its importance in the field of internal auditing. Candidates who pass IIA-CIA-Part2 exam demonstrate their understanding of the key concepts and practices in internal auditing, and their ability to apply this knowledge to real-world situations. Passing IIA-CIA-Part2 exam is an essential step towards obtaining the CIA certification and pursuing a successful career in internal auditing.
IIA-CIA-Part2 (Practice of Internal Auditing) certification exam is designed to test the knowledge, skills, and abilities of individuals who are interested in pursuing a career in internal auditing. IIA-CIA-Part2 exam covers a wide range of topics related to the practice of internal auditing, including risk management, governance, fraud detection, and financial reporting.
NEW QUESTION # 49
Which of the following is a primary reason for an internal auditor to use a risk and control questionnaire when auditing financial processes?
- A. To gam an understanding of the control environment
- B. To test the effectiveness of financial controls in an efficient and relatively inexpensive way
- C. To collect as much financial data as possible before engagement fieldwork begins.
- D. To facilitate the quantification of financial data obtained
Answer: B
NEW QUESTION # 50
During an engagement, an internal auditor discovered that an organization's policy on delegation of authority listed six individuals who were no longer employed with the organization. In addition, four individuals acting with disbursement authority were not identified in the policy as having such authority. Which of the following is the most effective course of action to address the control weakness?
- A. Review further to ensure that the four individuals do not have the appropriate authority through delegation.
- B. Recommend that management review the process supporting the policy and make improvements.
- C. Advise management to add the four additional names and remove the incorrect names from the policy to make it current.
- D. Immediately initiate a complete audit of the disbursement function to determine if significant frauds have occurred.
Answer: B
NEW QUESTION # 51
When approving the final engagement report, which of the following is most critical?
- A. Opinions are adequately supported.
- B. Report is clear and concise.
- C. Conclusions are reached for all objectives.
- D. Report is distributed to appropriate parties.
Answer: A
NEW QUESTION # 52
The final internal audit report should be distributed to which of the following individuals?
- A. Audit client management, executive management, and others approved by the chief audit executive.
- B. Executive management only
- C. Audit client management only
- D. Audit client management, executive management, and any those who request a copy.
Answer: A
NEW QUESTION # 53
A code of business conduct provides:
- A. A fraud avoidance plan that does not explicitly describe punishments for violations.
- B. A program to anonymously report irregularities to authorities.
- C. An alternative to "tone at the top" programs.
- D. A passive method of fraud deterrence.
Answer: D
Explanation:
Section: Volume C
Explanation/Reference:
NEW QUESTION # 54
A large retail organization, which sells most of its products online, experiences a computer hacking incident. The chief IT officer immediately investigates the incident and concludes that the attempt was not successful. The chief audit executive (CAE) learns of the attack in a casual conversation with an IT auditor. Which of the following actions should the CAE take?
1. Meet with the chief IT officer to discuss the report and control improvements that will be implemented as a result of the security breach, if any.
2. Immediately inform the chair of the audit committee of the security breach, because thus far only the chief IT officer is aware of the incident.
3. Meet with the IT auditor to develop an appropriate audit program to review the organization's Internet-based sales process and key controls.
4. Include the incident in the next quarterly report to the audit committee.
- A. 3 and 4
- B. 2 and 4
- C. 1 and 2
- D. 1 and 3
Answer: C
NEW QUESTION # 55
The final internal audit report should be distributed to which of the following individuals?
- A. Audit client management, executive management, and others approved by the chief audit executive.
- B. Executive management only
- C. Audit client management only
- D. Audit client management, executive management, and any those who request a copy.
Answer: A
NEW QUESTION # 56
Which of the following is typically not a reason for committing financial statement fraud?
- A. To obtain more favorable terms on financing.
- B. To disguise a duplicate payment to a vendor.
- C. To receive performance-related bonuses.
- D. To dispel negative market perception.
Answer: B
NEW QUESTION # 57
According to IIA guidance, which of the following individuals should receive the final audit report on a compliance engagement for the organization's cash disbursements process?
- A. The accounts payable manager, chief financial officer, and audit committee.
- B. The accounts payable supervisor, accounts payable manager, and controller.
- C. The accounts payable supervisor, controller, and treasurer.
- D. The accounts payable manager, purchasing manager, and receiving manager.
Answer: B
NEW QUESTION # 58
Which of the following is the best approach for obtaining feedback from engagement clients regarding the quality of internal audit work?
- A. Ask questions during the exit interviews and send copies of the documented responses to the clients.
- B. Distribute questionnaires to selected engagement clients shortly before preparing the internal audit annual activity report.
- C. Provide questionnaires to engagement clients at the beginning of each engagement and request that the clients complete and return them after the engagements.
- D. Call engagement clients after the exit interviews and send copies of the documented responses to the clients.
Answer: C
Explanation:
Section: Volume B
NEW QUESTION # 59
An internal auditor suspects that employee turnover is unusually htgh at the organization's primary manufacturing plant To investigate this potential issue which of the following analytical approaches is the auditor likely to use?
- A. Ratio analysis
- B. Cost-benefit analysis.
- C. Benchmarking
- D. Vertical analysis
Answer: C
NEW QUESTION # 60
Once an audit report is drafted, the auditor's supervisor should review it primarily to ensure that all:
- A. Processes within the audited area were reviewed.
- B. Recommendations for corrective action are clear.
- C. Sample sizes appear appropriate for any issues found.
- D. Statements are supported and can be authenticated.
Answer: D
Explanation:
Section: Volume B
NEW QUESTION # 61
Which of the following is the most appropriate step for the chief audit executive to take in order to avoid defamation of character of the principal suspect in a fraud investigation?
- A. Label all workpapers, reports, and correspondence of the internal audit activity as private.
- B. Restrict discussions of the fraud to members of management who express an interest in the investigation.
- C. Destroy all investigation workpapers and reports if the fraud cannot be proven.
- D. Restrict the use of potentially damaging words to privileged reports or discussions.
Answer: D
NEW QUESTION # 62
Which informal ion- gathering method would be most efficient for an internal auditor to determine whether specified control procedures are in place?
- A. Reperformance
- B. Observations
- C. Interviews
- D. Internal control questionnaires
Answer: D
NEW QUESTION # 63
An organization's finance manager plans to implement a state-of-the-art management system to better manage the organization's receivables. The finance manager consulted the chief audit executive (CAE) and asked for her assistance in determining whether the organization is able to accommodate this system. How would the CAE proceed to determine the objectives of this engagement
- A. Request that the board disclose its concerns over governance for inclusion in the engagement
- B. Ask the CEO to determine the scope and objectives of the engagement
- C. Review previous audit reports from the area and develop engagement objectives to address the area's key risks and controls
- D. Discuss the concerns with the finance manager and work together to agree on the engagement objectives
Answer: D
NEW QUESTION # 64
Which of the following tests must an internal auditor perform in order to ensure that inbound electronic data interchange (EDI) transactions are received and translated accurately?
I. Computerized tests to assess transaction reasonableness and validity.
II. Review of log books to ensure that transactions are logged upon receipt.
III. Edit checks to identify unusual transactions.
IV. Verification of limitations on the authority of users to initiate specific EDI transactions.
- A. I, II, and III only
- B. I, II, III, and IV.
- C. I and IV only
- D. II and III only
Answer: A
NEW QUESTION # 65
An internal control questionnaire would be most appropriate in which of the following situations?
- A. Testing controls in decentralized offices.
- B. Testing controls where operating procedures vary.
- C. Testing controls in high risk areas.
- D. Testing controls in areas with high control failure rates.
Answer: A
Explanation:
Section: Volume E
NEW QUESTION # 66
......
IIA-CIA-Part2 certification exam is a rigorous exam that requires a significant amount of preparation and study. However, for individuals who are committed to advancing their careers in internal auditing, this certification can be a valuable asset and can help them stand out in a competitive job market.
Share Latest IIA-CIA-Part2 DUMP Questions and Answers: https://www.pass4surecert.com/IIA/IIA-CIA-Part2-practice-exam-dumps.html
IIA-CIA-Part2 Questions and Answers Guarantee you Oass the Test Easily: https://drive.google.com/open?id=1tvcwHLFvlvMtp1fL0MZpb296j0IxtfU_