IIA-CHAL-QISA Qualified Info Systems Auditor CIA Challenge Exam Dumps Free

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IIA-CHAL-QISA Qualified Info Systems Auditor CIA Challenge exam contains 150 multiple-choice questions, and you have 180 minutes to answer all the questions. The required passing score for the IIA-CHAL-QISA exam is 600 (out of 750 points). The available language is English. We have cracked the latest Qualified Info Systems Auditor CIA Challenge IIA-CHAL-QISA exam dumps, which are the best material for you to study all the related topics. Free Qualified Info Systems Auditor CIA Challenge IIA-CHAL-QISA exam dumps are available below.

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1. Which of the following best demonstrates internal auditors performing their work with proficiency?

internal auditors meet with operational management at each phase of the audit process.

Internal auditors adhere to The IIA's Code of Ethics.

Internal auditors work collaboratively with their engagement team.

Internal auditors complete a program of continuing professional development.

2. The internal audit activity is responsible for which of the following actions related to an organization’s internal controls?

Mitigating risks affecting achievement of organizational objectives.

Enabling opportunities affecting achievement of organizational objectives.

Analyzing and advising regarding costs versus benefits of control activities.

Attesting to fairness of financial statements

3. A newly appointed chief audit executive (CAE) of a small organization is developing a resource management plan.

Which of the following approaches would be most beneficial to help the CAE obtain details of the internal audit activity's collective knowledge, skills, and other competencies?

Review or establish a documented skills assessment of the internal audit staff and gather information from post-audit surveys.

Obtain from the human resources department the job descriptions and position requirements for all internal audit staff.

Conduct an objective written test of the internal audit staff to assess their knowledge and skills related to core internal audit competencies.

Request the internal audit staff to submit a document that summarizes their most recent performance appraisals and post audit reviews.

4. Which of the following could increase risks to the organization’s control environment?

Strong board of directors oversight.

Incentive-based compensation structures

Lower than average employee turnover.

Implementation of a fraud hotline

5. According to IIA guidance, which of the following describes the primary reason to implement environmental and social safeguards within an organization?

To enable Triple Bottom Line reporting capability.

To facilitate the conduct of risk assessment

To achieve and maintain sustainable development.

To fulfill regulatory and compliance requirements.

6. The board of directors of a global organization has found an increased number of reported cases of unethical practices since last year.

To assist the board in gaining a better understanding of the degree of ethics awareness within the organization, which of the following actions should be undertaken?

Request the internal audit activity to perform an ethics-related assurance engagement.

Offer in-house ethics-related training seminars for employees to attend

Reaffirm the importance of the organization's code of ethics to all employees

Conduct an organization wide employee survey on ethical practices.

7. According to IIA guidance, which of the following best describes the purpose of a planning memorandum for an audit engagement?

It documents the audit steps and procedures to be performed.

it documents preliminary information useful to the audit team.

It documents events that could hinder the achievement of process objectives.

It documents existing measures that manage risks in the area under review

8. Management would like to self-assess the overall effectiveness of the controls in place for its 200-person manufacturing department.

Which of the following client-facilitated approaches is likely to be the most efficient way to accomplish this objective?

Workshops.

Surveys.

Interviews.

Observation.

9. According to IIA guidance, which of the following statements is true regarding due professional care?

Internal auditors must exercise due professional care to ensure that all significant risks will be identified.

Internal auditors must apply the care and skill expected of a reasonably prudent and competent internal auditor.

Due professional care requires the internal auditor to conduct extensive examinations and verifications to ensure fraud does not exist.

Due professional care is displayed during a consulting engagement when the internal auditor focuses on potential benefits of the engagement rather than the cost

10. According to the IIA Code of Ethics, which of the following is required with regard to communicating results?

The internal auditor should present material information to appropriate personnel within the organization without revealing confidential matters that could be detrimental to the organization

The internal auditor should disclose all material information obtained by the date of the final engagement communication.

The internal auditor should obtain all material information within the established time and budget parameters.

The internal auditor should reveal material facts that could potentially distort the reporting of activities under review

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11. Which of the following is the most appropriate way to ensure that a newly formed internal audit activity remains free from undue influence by management?

Appoint the chief audit executive as a member of the board.

Adopt written policies and procedures for the internal audit activity, approved by the board.

Ensure the chief audit executive reports administratively to the audit committee.

Establish the internal audit activity's position within the organization in an audit charter

12. The internal audit activity plans to assess the effectiveness of management’s self-assessment activities regarding the risk management process.

Which of the following procedures would be most appropriate to accomplish this objective?

Review corporate policies and board minutes for examples of risk discussions.

Conduct interviews with line and senior management on current practices.

Research and review relevant industry information concerning key risks.

Observe and test control and monitoring procedures and related reporting.

13. Which of the following statements is true regarding engagement planning?

The scope of the engagement should be planned according to the internal audit activity's budget and then aligned to the risk universe.

The audit engagement objectives should be based on operational managements view of risk objectives

The planning phase of the engagement should be completed and approved before the fieldwork of the engagement begins.

The main purpose of the engagement work program is to determine the nature and timing of procedures required to gather audit evidence

14. According to IIA guidance, which of the following statements regarding the internal audit charter is true?

The nature of consulting services typically is not included in the charter.

The chief audit executive must formally review the charter at least once a year

The nature of assurances provided to parties outside of the organization typically is not included in the charter.

The charter typically defines the internal audit activity’s position within the organization.

15. Which of the following would be the most effective fraud prevention control?

Email alert sent to management for checks issued over S100.000.

installation of a video surveillance system in a warehouse prone to inventory loss

New hire training to explain fraud and employee misconduct.

Daily report that Identifies unsuccessful system log-in attempts

16. While conducting an engagement in the procurement department, the internal auditor noticed that the department head’s travel reports showed minor travel expenses, and there were no charges for hotels, meals, or transportation However, the auditor knew that the department head frequently traveled worldwide to meet with suppliers and visit their production sites.

Which of the following would be the most appropriate next step for the auditor?

The auditor should make a note of the issue for follow-up when employee travel expenses are audited.

The auditor should analyze trends and changes among the organization's suppliers over the past few years.

The auditor should investigate whether there are any special arrangements regarding senior management travel.

The auditor should analyze the list of destinations the department head visited to estimate typical costs

17. Which of the following statements best describes the difference between risk appetite and risk tolerance?

Risk appetite applies to specific objectives, while risk tolerance refers to an organization's general attitude toward risk.

Risk appetite refers to the degree of risk acceptance for a particular objective, while risk tolerance is one approach to risk management

Risk appetite refers to an organization’s general level of acceptance, while risk tolerance is a more specific and subordinate concept

There is no significant difference between the two terms

18. Which of the following is a true statement regarding whistleblowing?

Whistleblowing is one of several possible ethical structures an organization can undertake to encourage ethical behavior.

Whistleblowing programs help employees deal with ethical questions and instill ethical values into everyday behavior

Whistleblowers are current or former employees who are disgruntled and looking to retaliate.

Whistleblowers should inform the organization about actual criminal circumstances, not assumed allegations.

19. An internal auditor discovered fraud while performing an audit of an organization's procurement process.

Which of the following describes the greatest benefit of using forensic auditing techniques in this scenario?

Enhanced capability to prevent frauds from occurring.

Greater assurance that procurement frauds will be detected in a timely manner

Improved capability of evaluating fraud risks within the organization.

Greater understanding of fraud through better evidence collection

20. An internal auditor observed that sales staff are able to modify or cancel an order in the system prior to shipping She wonders whether they can also modify orders after shipping.

Which of the following types of controls should she examine?

Batch controls.

Application controls

General IT controls.

Logical access controls

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21. The organization’s internal audit charter was last updated six years ago to update the charter, which of the following actions is most appropriate for the chief audit executive to take?

Wait for the next external assessment and address all of the missing information in the charter based on the recommendations from the external assessment team

Perform a review of HA guidance to become acquainted with the latest mandatory elements prior to updating the charter

Use an internal audit charter template from another organization that operates within the same industry.

Identify an individual within the internal audit activity who has in-depth knowledge of mandatory IIA guidance elements to address any gaps or areas of the current version of the charter that could be improved

22. What would be the effect if an organization paid one of its liabilities twice during the year, in error?

Assets, liabilities, and owners' equity would be understated.

Assets, net income, and owners’ equity would be unaffected

Assets and liabilities would be understated.

Assets, net income, and owners’ equity would be understated, but liabilities would be overstated

23. Which of the following best demonstrates that the internal audit activity is using due professional care?

The internal audit activity reports directly to the board on the engagements it performs.

Internal auditors undertake the necessary training to complete their audit work.

The completion of engagements is based on the assumption that fraudulent activities may exist.

Internal auditors consider the use of technology-based audit and other data analysis techniques

24. A manager has allowed a subordinate employee to have greater control and responsibility over the tasks that he performs.

This is an example of which of the following?

Job enlargement

Job enrichment

Horizontal loading of the job.

Job rotation.

25. According to IIA guidance, which of the following statements is true regarding engagement planning?

For both assurance and consulting engagements, planning typically occurs after the engagement objectives and scope have already been determined.

The expectations and objectives of an assurance engagement are usually determined by. or in conjunction with, the engagement client

Internal auditors may not need to complete a preliminary risk assessment for a consulting engagement as they would when planning an assurance engagement.

For both consulting and assurance engagements, internal auditors usually form the engagement objectives prior to completing the preliminary risk assessment

26. An internal audit activity maintains a quality assurance and improvement program that includes annual self-assessments The internal audit activity includes in each engagement report a clause that the engagement is conducted in conformance with the International Standards for the Professional Practice of Internal Auditing (Standards).

Which of the following justifies inclusion of this clause in the reports?

Internal audit activity policies and engagement records provide relevant, sufficient, and competent evidence that the statement is correct.

The audit committee has reviewed the annual self-assessment results and approved the use of the clause.

The self-assessment results were validated by a qualified external review team three years prior.

The internal audit charter, approved by the audit committee, requires conformance with the Standards

27. Skimming involves stealing cash or assets from the organization and is normally concealed by adjusting the organization’s records

4 Disbursement fraud occurs when a person causes the organization to issue a payment for fictitious goods or services

1 and 3.

1 and 4

2 and 3.

2 and 4

28. Which of the following types of policies best helps promote objectivity in the internal audit activity’s work?

Policies that are distributed to all members of the internal audit activity and require a signed acknowledgment.

Policies that match internal auditors' performance with feedback from management of the area under review

Policies that keep internal auditors in areas where they have vast audit expertise.

Policies that provide examples of Inappropriate business relationships

29. Which of the following statements is true regarding partnership liquidation?

Operations can continue after the liquidation, if all partners agree.

Partnership liquidation ends both the legal and economic life of an entity

Partnership liquidation occurs when there is capital deficiency.

When a partnership Is liquidated, each partner pays creditors from cash received

30. Organizations that adopt just-in-time purchasing systems often experience which of the following?

A slight increase in carrying costs.

A greater need for inspection of goods as the goods arrive

A greater need for linkage with a vendors computerized order entry system.

An Increase in the number of suitable suppliers

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31. Which of the following statements is true regarding managements use of judgement to design, implement, and conduct internal control?

The use of judgment enhances managements ability to make better decisions about internal control, but cannot guarantee perfect outcomes.

introducing judgment generally diminishes managements ability to make good decisions about internal control

It is inappropriate for management to exercise judgement in areas such as specifying and using suitable accounting principles.

It is inappropriate for management to exercise judgement in assessing whether components are present, functioning, and operating together

32. Identify and mitigate risks to help meet the CSR program objectives A.1,2, and 3.

B. 1.2. and 4.

C. 1, 3, and 4.

D. 2. 3. and 4.

33. An organization's health-care insurance costs have been rising approximately 10 percent per year for several years.

Which of the following analytical review procedures would best evaluate the reasonableness of the increase in health-care costs?

Develop a comparison of the costs incurred with similar costs incurred by other organizations

Obtain the government index of health-care costs for the comparable period of time and compare the rate of increase with that of the cost per employee incurred by the organization.

Obtain a bid from another health-care administrator to provide the same administrative services as the current health-care administrator.

Review all claims and compare with appropriate procedures to ensure that overpayments have not occurred

34. Which of the following offers the best evidence that the internal audit activity has achieved organizational independence?

An independent third party has assessed the organization's system of internal controls to be adequate and effective.

The chief audit executive reports both functionally and administratively to the CEO

The internal audit charter is drafted properly and approved by the appropriate parties.

The mission statement and strategy of the internal audit activity demonstrates alignment to organizational objectives

35. With regard to project management, which of the following statements about project crashing is true?

It leads to an increase in risk and often results in rework.

It is an optimization technique where activities are performed in parallel rather than sequentially

It involves a revaluation of project requirements and/or scope.

It is a compression technique in which resources are added to the project

36. When is an organic organizational structure likely to be more successful than a mechanistic organizational structure?

When a manufacturing organization has stable demand for its products.

When an organization is subjected to strong political and social pressures

When a manufacturer has reliable resources and suppliers.

When an organization is infrequently affected by technological advances

37. According to Herzberg’s Two-Factor Theory of Motivation, which of the following factors are mentioned most often by satisfied employees9

Salary and status.

Responsibility and advancement

Work conditions and security.

Peer relationships and personal life

38. Which of the following is most likely to be considered a control weakness?

Vendor invoice payment requests are accompanied by a purchase order and receiving report.

Purchase orders are typed by the purchasing department using prenumbered forms

Buyers promptly update the official vendor listing as new supplier sources become known.

Department managers initiate purchase requests that must be approved by the plant superintendent

39. When determining the level of staff and resources to be dedicated to an assurance engagement, which of the following would be the most relevant to the chief audit executive?

The overall adequacy of the internal audit activity's resources

The availability of guest auditors for the engagement

The number of internal auditors used for the previous review of the same area.

The available resources with the specific skill set required

40. Which of the following activities demonstrates an example of the chief audit executive performing residual risk assessment?

Cost-benefit analysis of management not implementing a recommendation to address an observation.

Inquiry of corrective action to be completed within a certain period

Reporting the status of every observation for every engagement in a detailed manner.

Soliciting management's feedback after completion of the audit engagement.

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41. According to ISO 31000, which of the following statements is correct?

The board is responsible for setting the organizational attitude through tone at the top.

The internal audit activity will provide assurance over operating effectiveness but not over the design of risk management activities

The internal audit activity can give objective assurance on any part of the risk management framework for which it is responsible.

The framework is designed to be effective for organizations no matter how small.

42. Which requirement should the chief audit executive consider when communicating results of the quality assurance and improvement program to the board of a large organization?

The internal assessment results should be discussed once every five years

The rating conclusions and the impact from results of the external assessment should be explained

The results of the external assessment should be discussed every seven years.

The qualifications and independence of the internal assessment team should be discussed

43. Which of the following is applicable to both a job order cost system and a process cost system'?

Total manufacturing costs are determined at the end of each period.

Costs are summarized in a production cost report for each department

Three manufacturing cost elements are tracked: direct materials, direct labor, and manufacturing overhead.

The unit cost can be calculated by dividing the total manufacturing costs for the period by the units produced during the period.

44. What is the primary reason that audit supervision includes approval of the engagement report?

To ensure the objectives of the area under review are met

To ensure senior management supports the reports conclusions

To ensure report style and grammar are appropriate.

To ensure report findings are substantiated

45. A multinational organization has multiple divisions that sell their products internally to other divisions.

When selling internally, which of the following transfer prices would lead to the best decisions for the organization?

Full cost

Full cost plus a markup.

Market price of the product.

Variable cost plus a markup.

46. The audit plan requires a review of the testing procedures used in pre-production of a large information system prior to its live launch.

If the chief audit executive (CAE) is uncertain that the current audit team has all the required knowledge to conduct the engagement, which of the following would be the most appropriate course of action for the CAE to take to preserve independence?

Contract with the software vendor to provide an appropriate resource

Ask for a knowledgeable resource from the IT department

Make use of an external service provider.

Request audit resources through the external auditor.

47. For a new board chair who has not previously served on the organization’s board, which of the following steps should first be undertaken to ensure effective leadership to the board*?

Chair should learn the current organizational culture of the company.

Chair should learn the current risk management system of the company

Chair should determine the appropriateness of the current strategic risks.

Chair should gain an understanding of the needs of key stakeholders.

IIA-CHAL-QISA Qualified Info Systems Auditor CIA Challenge Exam Dumps Free

IIA-CHAL-QISA Qualified Info Systems Auditor CIA Challenge Exam Dumps Free

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