IIA IIA Certifications IIA-CGAP Questions & Answers

• Question 81:

  Some areas where auditors can assist in fraud prevention activities include all of the following given below please choose the correct option:

  A. Reviewing the adequacy of the organization's integrity violations policy.

  B. A and D only

  C. All of the above

  D. Confirming that related policies include specific references to prohibited activities and that the policies are properly distributed and effectively communicated to all employees.

  Correct Answer: B

• Question 82:

  The integrity violations policy should be developed based on input from the chief executive officer and the heads of the following departments: fiscal, information processing, legal, and security. Integrity violations policies should do all of the following given below please choose the correct option:

  A. State management's position against integrity violations -- the organization should make it clear that integrity violations will not be tolerated and those perpetrators will be prosecuted.

  B. Establish consistent penalties -- the policy should specify what types of action will result in reprimand, termination, or other consequences.

  C. A and B only.

  D. All of the above.

  Correct Answer: C

• Question 83:

  Staff must be properly guided and supervised throughout the audit process. Supervision is the process by which the objectives of quality control and individual responsibility are balanced. All of the following given below are the Goals of supervision please choose the correct option:

  A. Keep staff motivated by giving them a level of responsibility commensurate with their experience and performance.

  B. Provide sufficient oversight of work to provide reasonable assurance that the work meets quality standards.

  C. All of the above.

  D. None of the above.

  Correct Answer: C

• Question 84:

  Some important elements of supervision include all of the following given below please choose the correct option:

  A. Instructing staff members and Developing staff performance expectations.

  B. Planning audit work and reviewing work performed.

  C. A and B only.

  D. All of the above.

  Correct Answer: C

• Question 85:

  Some of the assistance services auditors may be called on to perform, in addition to conducting audits, include all of the following given below please choose the correct option:

  A. Consulting

  B. Control Self-assessment

  C. Training

  D. All of the above.

  Correct Answer: D

• Question 86:

  Control self-assessments help identify internal control weaknesses and solutions. Where as Auditors can assist in this process by providing direct assistance or specific information related to such areas as establishing and monitoring effective internal controls, risk assessments, and sampling.

  A. Control self-assessments, creditors

  B. Audit self-assessments, debtor

  C. Control self-assessments, auditors

  D. Control self-assessments, owners

  Correct Answer: C

• Question 87:

  Integrity violations can have an effect on an organization's performance and reports of performance, as well as on the financial statements. Specific categories of integrity violations include all of the following given below please choose the correct option:

  A. Abuse is distinct from illegal acts and noncompliance. Abuse occurs when conduct falls short of societal expectations for prudent behavior. Because determining abuse is subjective, auditors are not expected to provide reasonable assurance of detecting it.

  B. Noncompliance includes illegal acts, as well as violations of provisions of contract or grant agreements.

  C. Fraud is a type of illegal act that involves obtaining something of value through willful misrepresentation.

  D. All of the above.

  Correct Answer: D

• Question 88:

  During the _______, the auditor gains an understanding of the entity's computer-related operations and controls and related risks. Where as the _________focuses primarily on substantive tests. These tests generally involve examining source documents that support transactions to determine if they were recorded, processed, and reported properly and completely.

  A. Testing phase, planning phase

  B. Planning phase, testing phase

  C. Reporting phase. Testing phase

  D. Reporting phase, planning phase

  Correct Answer: B

• Question 89:

  A three-step general methodology to use in assessing computer related controls consist of all of the following please choose the correct option:

  A. Evaluate general controls at the entity or installation level.

  B. Evaluate general controls as they are applied to the application(s) being examined, such as a payroll system or a loan accounting system.

  C. Evaluate application controls, which are the controls over input, processing, and output of data associated with individual applications.

  D. All of above.

  Correct Answer: D

• Question 90:

  All of the following given below are the purposes of the Federal Information System Controls Audit Manual EXCEPT:

  A. Inform financial auditors about computer-related controls and related audit issues so that they can better plan their work and integrate the work of information systems (IS) auditors with other aspects of the financial audit.

  B. Pull together information on the historic environment analyses it and present it on a dedicated website.

  C. Establish a stakeholder advisory group to facilitate sharing of knowledge and co-ordinate a report on the "state of the historic environment".

  D. Provide guidance to IS auditors on the scope of issues that generally should be considered in any review of computer-related controls over the integrity, confidentiality, and availability of computerized data associated with federal agency systems.

  Correct Answer: AD