- All Exams Instant Download
Which of the following risks most appropriately describes this situation?
An internal auditor tested whether purchase orders were supported by appropriately approved purchase requisitions She sampled a population of purchase documents and identified instances where purchase requisitions were missing However, she did not notice that n some cases purchase requisitions were approved by an unauthorized person. Which of the following...
Which of the following describes the control objective likely being tested?
An internal auditor uses a data query tool in the purchasing process to review the vendor master file for authorizations. Which of the following describes the control objective likely being tested?A . EffectivenessB . ResponseC . EfficiencyD . Mitigation.View AnswerAnswer: A
When forming an opinion on the adequacy of management's systems of internal control, which of the following findings would provide the most reliable assurance to the chief audit executive?
When forming an opinion on the adequacy of management's systems of internal control, which of the following findings would provide the most reliable assurance to the chief audit executive? • During an audit of the hiring process in a law firm, it was discovered that potential employees' credentials were not...
Which of the following should management action plans include at a minimum?
Which of the following should management action plans include at a minimum?A . An implementer for the action planB . An owner of the action planC . The internal auditor's next review date of the action planD . Detailed procedures for the action planView AnswerAnswer: B
Which of the following is an appropriate responsibility for the internal audit activity with regard to the organization's risk management program?
Which of the following is an appropriate responsibility for the internal audit activity with regard to the organization's risk management program?A . Identifying and managing risks in line with the entity's risk appetite.B . Ensuring that a proper and effective risk management process exists.C . Attaining an adequate understanding of...
Which of the following component should be added to this observation?
According to an internal audit observation, the organization’s rules of record management require all contracts to be registered and stored in a specific electronic system. One subsidiary has thousands of client contracts on paper, which are kept in the office because there are not enough assistants to scan the contracts...
What is the best course of action for a chief audit executive if an internal auditor identifies in the early stage of an audit that some employees have inappropriate access to a key system?
What is the best course of action for a chief audit executive if an internal auditor identifies in the early stage of an audit that some employees have inappropriate access to a key system?A . Contact the audit committee chair to discuss the findingB . Obtain verbal assurance from management...
Which of the following is the most appropriate conclusion for the auditor to include in the audit report?
An internal auditor completed a review of expenses related to the launch of a new project. The auditor sampled 45 transactions approved by a senior project manager and identified 30 with questionable vendor documentation. Which of the following is the most appropriate conclusion for the auditor to include in the...
With this data, which of the following types of ghost employees will the auditor be able to identify?
An internal auditor wants to identity potential ghost employees in the organization's payroll system. The auditor extracts the following data - Human resources data with employees' names addresses employment conditions and identification codes - Payroll data - Logs from entrance systems With this data, which of the following types of...
Which of the following would most appropriately be used for this purpose?
An internal auditor is assigned to validate calculations on the organization's building application As pad of the test the internal auditor is required to use an automated audit tool to simulate transactions for testing. Which of the following would most appropriately be used for this purpose?A . Generalized audit software.B...
