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IIA Internal Audit Practitioner Sample Questions:

1. In a standard process mapping document, a diamond shape typically represents which of the following?

A) Flow line.
B) Decision.
C) Process or operation.

2. Which of the following is an example of criteria in an engagement communication?

A) The audit test was designed to evaluate compliance with the organization's policies and procedures related to business conduct and ethics.
B) As a result of inadequate business conduct training, 16% of the executive team was unaware of their obligation to report potential conflicts of interest.
C) Annual business conduct training was not performed over the past two years due to inadequate operating budgets.

3. Which of the following would be the best indicator that the organization's risk management processes are operating effectively?

A) The organization implemented formal operational risk management processes.
B) Management openly discusses both risks and opportunities facing the organization.
C) Management established policies and procedures that state risk will be considered.

4. During a travel expense audit engagement, the internal auditor discovered that the accounts payable staff spend a significant amount of time previewing expense reports before the reports are sent to managers for review and approval. The total of all expense reports during a year represents less than 1% of the organization' s total budget. Which of the following best supports the auditor'srecommendation to reduce the level of reviews?

A) The inherent risk of travel expense fraud is low.
B) The cost of the control outweighs the benefit.
C) The duplication of effort in the review process is unnecessary.

5. What is the primary objective for testing controls?

A) To determine whether controls are operating effectively.
B) To identify major patterns of errors or irregularities that might exist in final account balances.
C) To understand whether a control is in place.

Solutions: