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NEW QUESTION 39
Which of the following statements best explains why internal auditors map processes?
1. To obtain audit evidence to support auditor's observations.
2. To determine scope and objectives of the audit.
3. To facilitate the identification of ownership and responsibility for key risks.
4. To identify potential efficiency improvements.
NEW QUESTION 40
During an internal audit, an organization's processing department is found to have incidences of both duplicate invoices and notices from customers that purchased goods were not received. The department under review insists that some of these reports are false and that others were isolated oversights due to understaffing.
Which of the following tests would best help the internal auditor detect fraudulent activity?
NEW QUESTION 41
A furniture manufacturer has installed a new fire sprinkler system at its central warehouse and canceled the existing fire insurance policy on that property. What change of risk response strategy does this course of action most likely reflect?
NEW QUESTION 42
According to The MA Code of Ethics, which of the following is one of the rules of conduct for objectivity?
NEW QUESTION 43
......
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NEW QUESTION 39
Which of the following statements best explains why internal auditors map processes?
1. To obtain audit evidence to support auditor's observations.
2. To determine scope and objectives of the audit.
3. To facilitate the identification of ownership and responsibility for key risks.
4. To identify potential efficiency improvements.
- A. 1 and 3.
- B. 2 and 4.
- C. 3 and 4.
- D. 1 and 2.
NEW QUESTION 40
During an internal audit, an organization's processing department is found to have incidences of both duplicate invoices and notices from customers that purchased goods were not received. The department under review insists that some of these reports are false and that others were isolated oversights due to understaffing.
Which of the following tests would best help the internal auditor detect fraudulent activity?
- A. Review raw material purchase quantities.
- B. Search for gaps in check numbers.
- C. Check inventory levels.
- D. Compare vendor summaries.
NEW QUESTION 41
A furniture manufacturer has installed a new fire sprinkler system at its central warehouse and canceled the existing fire insurance policy on that property. What change of risk response strategy does this course of action most likely reflect?
- A. From acceptance to avoidance.
- B. From sharing to reduction.
- C. From sharing to avoidance.
- D. From acceptance to reduction.
NEW QUESTION 42
According to The MA Code of Ethics, which of the following is one of the rules of conduct for objectivity?
- A. Internal auditors shall continually improve their proficiency and effectiveness and quality of their services.
- B. Internal auditors shall be prudent in the use and protection of information acquired in the course of their duties.
- C. Internal auditors shall respect and contribute to legitimate and ethical objectives of the organization.
- D. Internal auditors shall not accept anything that may impair or be presumed to impair their professional judgment.
NEW QUESTION 43
......
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