BRAINDUMP IAA-IAP PDF & IAA-IAP LATEST TEST LABS

Braindump IAA-IAP Pdf & IAA-IAP Latest Test Labs

Braindump IAA-IAP Pdf & IAA-IAP Latest Test Labs

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IIA Internal Audit Practitioner Sample Questions (Q64-Q69):

NEW QUESTION # 64
Internal and external benchmarking by the internal audit activity are examples of which of the following?

  • A. Confirmation
  • B. Analytical procedures
  • C. Inquiry

Answer: B

Explanation:
Comprehensive and Detailed Step-by-Step Explanation:
* Analytical Procedures: Benchmarking compares an organization's performance against internal or external standards, which is a core analytical procedure used to assess efficiency, effectiveness, or best practices.


NEW QUESTION # 65
Which of the following elements are typically included in an engagement work program?

  • A. Planning, objectives, and preliminary risk assessments
  • B. Opinions and final engagement communications
  • C. Fieldwork, analytical testing, and resources

Answer: A

Explanation:
Comprehensive and Detailed Step-by-Step Explanation:
* Engagement Work Program: A structured plan detailing the steps to achieve engagement objectives.
The program typically includes planning activities, objectives, and preliminary risk assessments to guide the audit.


NEW QUESTION # 66
Which of the following statements is true regarding root cause analysis?

  • A. Root cause analysis is a simple, straightforward tool that can be implemented by internal auditors who may not possess relevant subject matter expertise.
  • B. Root cause analysis enables internal auditors to reveal multiple causes and recommend control enhancements for each cause identified.
  • C. Root cause analysis enables internal auditors to improve the effectiveness and efficiency of the organization's governance, risk management, and control processes.

Answer: B

Explanation:
Comprehensive and Detailed Step-by-Step Explanation:
* Root Cause Analysis: This method identifies underlying causes of issues rather than just addressing symptoms, allowing internal auditors to recommend targeted improvements to controls and processes.
By identifying multiple causes, auditors can propose tailored control enhancements to address each cause effectively.


NEW QUESTION # 67
Management requested that the chief audit executive (CAE) include an audit of the organization's health and safety program in next year's annual audit plan. However, the internal audit activity has no expertise in this area. Which of the following would be the most appropriate actions for the CAE?

  • A. With management's agreement, amend the audit scope so that specialized expertise is not needed.
  • B. Work with an internal subject matter expert to complete the audit.
  • C. Accept the request, provided management has conducted a thorough risk assessment prior to the engagement to help guide the audit.

Answer: B

Explanation:
Comprehensive and Detailed Step-by-Step Explanation:
* Reference to IIA Standards:
* Standard 1210 - Proficiency: The internal audit activity must possess or obtain the knowledge, skills, and competencies needed to perform its responsibilities effectively.
* If internal expertise is lacking, external resources or subject matter experts should be engaged.
* Reasoning:
* Option Ais correct because collaborating with an internal expert ensures that the audit is performed competently while addressing the health and safety risks comprehensively.
* Option B(amending the scope) avoids addressing critical risks, which may undermine the value of the audit.
* Option C(relying on management's risk assessment) is inappropriate, as the internal audit function must independently evaluate the area.
* Mitigating Lack of Expertise:
* Leveraging subject matter experts ensures compliance with professional standards and the integrity of the audit process.


NEW QUESTION # 68
Which of the following is an important consideration when providing quality audit communications?

  • A. Include as much detail as possible.
  • B. Demonstrate knowledge by using technical language.
  • C. Provide a fair and balanced assessment.

Answer: C

Explanation:
Comprehensive and Detailed Step-by-Step Explanation:
* Reference to IIA Standards:
* Standard 2420 - Quality of Communications: Audit communications must be accurate, objective, clear, concise, constructive, complete, and timely.
* A fair and balanced assessment ensures objectivity and builds credibility.
* Reasoning:
* Option Bis correct because fair and balanced reporting reflects both positive and negative findings, maintaining the credibility and usefulness of the audit report.
* Option A(including as much detail as possible) risks overwhelming the audience and detracting from key messages.
* Option C(using technical language) can reduce clarity and accessibility for non-technical stakeholders.
* Importance of Balanced Reporting:
* Objective and balanced communications ensure that the audit report is actionable and supports informed decision-making by management and the board.


NEW QUESTION # 69
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