IIA IIA Certifications IIA-CFSA Questions & Answers

• Question 461:

  Auditors must use professional judgment to determine the impact a risk factor may have on the use off audit resources. Risk can be controlled by various preventive measures such as:

  A. Adding personnel to a function

  B. Installing burglar alarms

  C. Increasing the frequency and level of management review implement tighter standards

  D. All of these

  Correct Answer: D

• Question 462:

  Entrance Conference-- The entrance conference may be the auditor's first face-to-face contact with client. The objective/s of the entrance conference is/are to:

  A. Explain preliminary audit scope

  B. Present projected audit milestone dates and completion dates

  C. Identify key contacts and desired communication protocols

  D. All of these

  Correct Answer: D

• Question 463:

  Engagement client management often has a negative perception of audit process; therefore, communication throughout the audit process is essential to alleviate some of the concerns of management. The very first step in communicating the audit information with the client is:

  A. Entrance conference

  B. Formal notification of the audit

  C. of the scope of audit

  D. None of these

  Correct Answer: B

• Question 464:

  Following elements should be documented in the audit scope EXCEPT:

  A. Time period to be covered by audit tests

  B. Available data:No. of recordsLocationsNeed to create dataFormReliability

  C. Prioritizing risks

  D. Both A and B

  Correct Answer: D

• Question 465:

  Site Selection Rationale Client officials client/requesters for audit results Scope limitations encountered or anticipated Expert advice

  The above elements should be documented in the:

  A. Audit planning

  B. Risk assessment

  C. Audit scope

  D. None of these

  Correct Answer: C

• Question 466:

  Considerations for determining required audit resources include:

  A. Training needed by the audit staff to meet the audit objectives

  B. Contractual assistance needed to meet the audit objectives

  C. Both A and B

  D. None of these

  Correct Answer: C

• Question 467:

  The scope of an audit defines the boundaries of the audit by addressing such items as the audit period or number of locations to be reviewed.. Some important considerations when defining the scope of an audit include:

  A. Needs of potential users of the audit reportB Preliminary judgment about materiality levels

  B. Both A and B

  C. None of the above

  Correct Answer: C

• Question 468:

  Which of the following is NOT included in the list of principles for formulating well- stated audit objectives?

  A. Clearly identify the client

  B. Clearly identify the type of performance to be audited and separate objectives if more than one element of performance is to be reviewed

  C. Frame objectives that consider a realistic scope and methodology

  D. Onsite Observation

  Correct Answer: D

• Question 469:

  Carefully crafted audit objectives are important BECAUSE:

  A. Objectives provide direction

  B. Limit collection of unneeded information

  C. Control scope, methodology, timing and nature of audit work

  D. All of the above

  Correct Answer: D

• Question 470:

  Auditors define audit objectives based on information gained:

  A. From external sources of the organization

  B. Either from knowledge they already have or from inquiries and observations

  C. From internal sources of the organization

  D. From external sources of the organization

  Correct Answer: B