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IIA CIA Exam Part Three: Business Knowledge for Internal Auditing Sample Questions (Q327-Q332):

NEW QUESTION # 327
Which of the following are appropriate reasons for internal auditors to document processes as part of an audit engagement?
1) To determine areas of primary concern.
2) To establish a standard format for process mapping.
3) To define areas of responsibility within the organization.
4) To assess the performance of employees.

A. 1 and 2 only
B. 2 and 4 only
C. 2 and 3 only
D. 1 and 3 only

Answer: D

NEW QUESTION # 328
An organization's headquarters is centrally located and the organization runs numerous computer applications in multiple sites. Which of the following would be the most appropriate approach for conducting an audit of the mainframe computer?

A. Conduct an individual audit of the mainframe general controls and separate application control audits of the individual applications in a phased manner
B. Conduct a series of location-based audits that cover both the general and application IT controls an systems across the location
C. Conduct a single consolidated audit of both the mainframe general controls and the application controls for all of the applications that use the mainframe
D. Conduct individual audits of each application and include in each audit the general controls of the mainframe relevant to the individual application

Answer: B

NEW QUESTION # 329
An internal auditor is trying to assess control risk and the effectiveness of an organization's internal controls. Which of the following audit procedures would not provide assurance to the auditor on this matter?

A. Observing the organization's operations.
B. Interviewing the organization's employees.
C. Reading the board's minutes.
D. Inspecting manuals and documents.

Answer: C

NEW QUESTION # 330
Which of the following conditions could lead an organization to enter into a new business through internal development rather than through acquisition?

A. The condition of the economy is poor.
B. The acquiring organization has information that the selling organization is weak.
C. It is expected that there will be slow retaliation from incumbents.
D. The number of bidders to acquire the organization for sale is low.

Answer: C

NEW QUESTION # 331
When writing a business memorandum, the writer should choose a writing style that achieves all of the following except:

A. Develops ideas without overstatement.
B. Draws positive attention to the writing style.
C. Suits the method of presentation and delivery.
D. Treats all receivers with respect.

Answer: B

NEW QUESTION # 332
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