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IIA Certification in Risk Management Assurance Sample Questions:

1. Which of the following best ensures the independence of the internal audit activity?
1. The CEO and audit committee review and endorse any changes to the approved audit plan on an annual basis.
2. The audit committee reviews the performance of the chief audit executive (CAE) periodically.
3. The internal audit charter requires the CAE to report functionally to the audit committee.

A) 1 and 2 only
B) 2 and 3 only
C) 1, 2, and 3
D) 3 only

2. Which of the following actions does not violate the IIA Code of Ethics or Standards?

A) An internal auditor disclosing details of an audit report to colleagues from a different organization.
B) An internal auditor performing an audit on procedures that they were responsible for creating.
C) An internal auditor disclosing confidential information in response to a lawsuit.
D) An internal auditor performing an audit on an operation that they managed less than a year ago.

3. An assurance mapping exercise helps an organization do which of the following?
1. Provide assurance to stakeholders that risks are managed and reported, and regulatory and legal obligations are met.
2. Fulfill best practices in the industry.
3. Identify and address any gaps in the risk management process.
4. Identify fraud.

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

4. The internal audit supervisor is reviewing the workpapers prepared by the staff. According to the Standards, which of the following statements regarding workpaper supervision is not true?

A) Workpaper review allows for staff training and development.
B) Workpapers may be amended during the review process.
C) Dating and initialing each workpaper provides evidence of review.
D) Review notes of questions that arise during the review process must be retained.

5. Which of the following best describes the assessment of risks?

A) Assess alternative strategies to reduce or eliminate major risks.
B) Assess the likelihood and/or impact of risk on the achievement of organizational objectives.
C) Assess the actions necessary to reduce the likelihood and/or impact of risk to tolerable levels.
D) Assess the amount of risk an organization can accept while pursuing its objectives.

Solutions: