[Free] Download New Updated (October 2016) IIA IIA-CIA-Part2 Real Exam 291-300

Ensurepass

QUESTION 291

An internal auditor has completed an audit of an organization’s activities and is ready to issue a report. However, the client disagrees with the internal auditor’s conclusions. The auditor should:

 

A.

Withhold the issuance of the audit report until agreement on the issues is obtained.

B.

Issue the audit report and state both the auditor and client positions and the reasons for the disagreement.

C.

Issue the audit report and omit the client’s conclusion as it is not the opinion of the internal auditor.

D.

Perform additional work, with the client’s concurrence, to resolve the areas of disagreement and delay the issuance of the report until agreement is reached.

 

Correct Answer: B

 

 

QUESTION 292

Which of the following is an advantage of an interim report?

 

I. An interim report provides timely feedback to the audit engagement client.

 

II. An interim report provides a mechanism for communicating information on red flags promptly while they are being investigated.

 

III. An interim report provides an opportunity for auditor follow-up of findings before the engagement is completed.

 

IV. An interim report increases the probability that corrective action will be initiated more quickly.

 

A.

I and IV only

B.

II and III only

C.

I, III, and IV only

D.

I, II, III, and IV.

 

Correct Answer: C

 

 

QUESTION 293

An internal auditor is planning an assurance engagement. The auditor first reviews the department’s business objectives. What is the next step?

 

A.

Review control activities.

B.

Evaluate potential risks.

C.

Establish risk management roles.

D.

Set the scope of the engagement.

 

Correct Answer: B

 

 

QUESTION 294

In which of the following cases is it appropriate for an audit report to not contain management’s response either within the report or as an attachment?

 

A.

Management’s response to an audit report is generally not a requirement.

B.

Internal controls were found to be properly designed and operating effectively although operations are deemed inefficient.

C.

There was insufficient time to obtain management’s response during the draft reporting process.

D.

An internal audit report contains no observations.

 

Corr
ect Answer:
D

 

 

QUESTION 295

Why should internal auditors develop a strong relationship with the external auditors?

 

A.

External auditors offer an additional layer of approval to internal auditors’ reports.

B.

External auditors can help improve the effectiveness of internal control sampling techniques.

C.

External auditors can offer an independent and knowledgeable viewpoint.

D.

External auditors can share information gained from work with similar clients.

 

Correct Answer: C

 

 

QUESTION 296

Information gathered in a forensic investigation of business fraud is usually gathered with which of the following standards in mind?

 

A.

Generally Accepted Auditing Standards.

B.

Generally Accepted Accounting Principles.

C.

The International Professional Practices Framework.

D.

Legal evidence.

 

Correct Answer: D

 

 

QUESTION 297

What is the most likely source of information for a detailed schedule of a company’s insurance policies in force?

 

A.

Original journal entries found in the cash disbursements journal, along with supporting checks processed by the bank.

B.

Policies and procedures governing insurance coverage.

C.

The current fiscal year’s budget for insurance, together with the beginning balance of the prepaid insurance account.

D.

The files containing insurance policies with various carriers.

 

Correct Answer: D

 

 

QUESTION 298

Risk assessments can vary in format, but generally include:

 

1. A description of identified risks.

 

2. Tests of audit controls.

 

3. A system of rating risks.

 

4. Sample size identification.

 

A.

1 and 2 only

B.

1 and 3 only

C.

1, 3, and 4 only

D.

2, 3, and 4 only

 

Correct Answer: B

 

 

QUESTION 299

Which of the following examples of audit evidence is the most persuasive?

 

A.

Real estate deeds, which were properly recorded with a government agency.

B.

Canceled checks written by the treasurer and returned from a bank.

C.

Time cards for employees, which are stored by a manager.

D.

Vendor invoices filed by the accounting department.

 

Correct Answer: A

 

 

 

 

QUESTION 300

During an audit of an ethics program, which of the following procedures are most appropriate to evaluate the effectiveness of the program?

 

1. Testing whether corrective actions taken on involved parties breaching the ethics program are adequate.

 

2. Testing whether all employees are mandated through policy to comply with the ethics program.

 

3. Testing whether all employees are required to confirm in writing their compliance with the ethics program.

 

4. Testing through surveys employee’s level of understanding and commitment to the ethics program.

 

A.

1 and 2 only

B.

1 and 4 only

C.

2 and 3 only

D.

3 and 4 only

 

Correct Answer: B

 

Free VCE & PDF File for IIA IIA-CIA-Part2 Real Exam

Instant Access to Free VCE Files: CompTIA | VMware | SAP …
Instant Access to Free PDF Files: CompTIA | VMware | SAP …

This entry was posted in IIA-CIA-Part2 Actual Test (October 2016) and tagged , , , , , , , . Bookmark the permalink.