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IIA Internal Audit Practitioner Sample Questions:

1. In addition to the internal auditor, which of the following parties need to be present at an exit or closing conference?

A) Audit committee members
B) Management over areas covered by the engagement
C) The chief executive officer

2. Management has decided that transactions less than $50 no longer require authorization. Which of the following risk management strategies does this represent?

A) Reduce.
B) Avoid.
C) Accept.

3. Which of the following activities would compromise the independence of the internal audit activity and therefore should not be performed by an internal auditor?

A) Championing the establishment of organization-wide risk management.
B) Setting the organization's risk appetite.
C) Coordinating risk management activities.

4. Which of the following best explains why internal auditors should identify risk scenarios during a risk assessment of the area being audited?

A) To evaluate the adequacy of management's risk management process in the area being audited.
B) To determine whether established controls are operating effectively to mitigate critical risks.
C) To determine what would prevent the achievement of objectives in the area being audited.

5. An internal auditor is conducting a human resources audit engagement. Which of the following observations would increase the probability of fraud?

A) Lack of background checks.
B) Poor interview skills.
C) Vague job descriptions.

Solutions: