IIA IIA Certifications IIA-CFSA Questions & Answers

• Question 451:

  A client makes the following statement: "If you make us put property tags and numbers on major equipment, next we will have to put tags on every pen, pencil, and paper clip in the place." This is the argument that if a particular action is taken, it will inevitably lead to another, less desirable action. We may call this:

  A. Slippery slope

  B. Hasty generalization

  C. False use of authority

  D. Ad Hominem

  Correct Answer: A

• Question 452:

  ___________ result from a failure to follow the logic of a series of statements.

  A. Deductive fallacies

  B. Inductive fallacies

  C. Corrective controls

  D. None of These

  Correct Answer: A

• Question 453:

  An example of an invalid deductive argument is as follows: Major premises: All employees who are committing fraud drive luxury cars. Minor premises: __________ Conclusion: Therefore, John Doe is committing fraud. What will be the minor premise in this example?

  A. John Doe is an employee

  B. John Doe drives a luxury car

  C. John Doe is a senior management level employee

  D. John Doe drives an ordinary car

  Correct Answer: B

• Question 454:

  Example/s of ongoing monitoring function/s is/are:

  A. Management's review of performance reports and comparing them to the budgets and other benchmarks

  B. Feedback obtained from external parties (e.g. complaints from stake holders)

  C. Direct supervision and review of work by functional level managers

  D. All of above

  Correct Answer: D

• Question 455:

  ___________ help bring performance back into compliance, or address problems that have been identified such as employee grievance system, employee performance approvals, or an administrative appeal's process.

  A. Correction controls

  B. Detective controls

  C. Preventive controls

  D. None of These

  Correct Answer: A

• Question 456:

  Internal auditing controls (e.g. segregation of duties, monitoring, reconciliation), management controls (e.g. the plan, methods and procedures adopted by management to ensure its goals are met, including systems for measuring reporting and monitoring program performance), physical controls (e.g. security), and Information technology control (e.g. access security controls ,data center operation controls). All these are examples of:

  A. Detective controls

  B. Control activitiesC Corrective controlsD Preventive controls

  Correct Answer: B

• Question 457:

  Factor/s that influences/influence the state of an organization's control environment is/are:

  A. Organizational history of control weakness or violations

  B. Whether management emphasizes and values competence, integrity, and ethical behavior

  C. An inconsistent or unfair employee performance evaluation, compensation and promotion system.

  D. All of these

  Correct Answer: D

• Question 458:

  Which of the following is not a characteristic of a control environment?

  A. Management communicates the importance of internal controls to all employees

  B. Employees have a vague idea of their responsibilities; so they work in a flexible environment

  C. Employees are held accountable for their performance

  D. A system is in place to monitor controls on a regular basis

  Correct Answer: B

• Question 459:

  An organization might decide that the risk of fire is high so it will pay a high premium on its fire insurance policy to transfer the risk as much as possible. However, the organization will still have to pay deductible amount on the policy if a fire occurs. This scenario depicts:

  A. Assessment of the likelihood that a given risk will occur

  B. Control the risk

  C. Accept the risk

  D. Transfer the risk

  Correct Answer: C

• Question 460:

  "Audit management must decide whether to sample (judgment or statistical) or use the entire universe, and which specific quantitative and qualitative methodologies will provide sufficient, competent and relevant evidence to answer the questions posed in the audit objectives." It is an example of:

  A. Determining appropriate audit methods and strategies

  B. Determining resources needed to conduct the audit

  C. Determining audit scope

  D. None of these

  Correct Answer: A