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IIA Internal Audit Practitioner Sample Questions:

1. What is the purpose of establishing engagement objectives during the planning phase of an internal audit?

A) To ensure that all auditors have a common understanding of the area being audited.
B) To ensure that audit procedures are designed to address the risks relevant to the area being audited.
C) To ensure that the work performed by other internal or external assurance providers is considered during audit planning.

2. The internal audit activity has been tasked with evaluating the effectiveness of the organization's risk management processes. Which of the following activities are appropriate and relevant to consider in the overall evaluation?

A) An external audit of the organization's corporate social responsibility and sustainability management, including communication of findings to management and the board
B) Evaluation of risk management effectiveness obtained during multiple audit engagements over the past year
C) The chief audit executive's observations of the organization's finance committee

3. Which of the following situations is most likely to require a compliance engagement from the internal audit activity?

A) An organization is preparing to launch an enhanced service for its online customer information system.
B) An organization must restate its financial statements due to an error in fixed asset valuation.
C) An organization is subject to newly imposed industry health and safety regulations.

4. According to the IIA's Code of Ethics, which of the following best describes the conduct of an internal auditor who demonstrates the principle of competency?

A) The auditor does not accept anything that may impair or be presumed to impair her professional judgment
B) The auditor is prudent in the use and protection of information acquired in the course of her work
C) The auditor continually improves her proficiency and the effectiveness and quality of her services

5. Internal and external benchmarking by the internal audit activity are examples of which of the following?

A) Analytical procedures
B) Inquiry
C) Confirmation

Solutions: