Free Aug-2026 UPDATED IIA IIA-CIA-Part1 Exam Questions & Answer [Q135-Q151]

QUESTION 135
A quantitative risk assessment model has all of the following advantages except:

QUESTION 136
Senior management is eager to assess the organization’s risks with regard to electricity sales processes, but the senior management team does not know where to start. How can the internal audit activity assist?

QUESTION 137
New credit policies have been implemented in an automated order-entry system to improve the collection of receivables. Sales management has compiled several examples that show decreased sales and delayed order entry, and contends that these examples are a direct result of the new credit-policy constraints. Sales management’s data and information provide:

QUESTION 138
Which of the following is the best way for an internal auditor to demonstrate due professional care?

QUESTION 139
Which of the following statements regarding an internal auditor’s responsibility for detecting fraud is not correct?

QUESTION 140
A production division received 45 responses to a customer-service survey distributed to 100 purchasing departments randomly selected from all customers who made purchases in the prior 12 months. Which of the following is the most likely reason that the division manager would be concerned about nonresponse bias in this situation?

QUESTION 141
After being terminated due to downsizing, an internal auditor finds a different job with an organization in the same industry. Which of the following actions would violate the IIA Code of Ethics?

QUESTION 142
According to IIA guidance, a new internal auditor is expected to possess which of the following competencies?

QUESTION 143
According to IIA guidance, which of the following statements is true regarding the internal audit activity’s quality assurance and improvement program (QAIP)?

QUESTION 144
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Which of the following might alert an internal auditor to the possibility of fraud in a division?
The division is not scheduled for an external audit this year.
Sales have increased by 10 percent.
A significant portion of management’s compensation is directly tied to reported net
income of the division.

QUESTION 145
In developing an appropriate work program for an audit engagement, the most important factor for an audit supervisor to consider is the:

QUESTION 146
An internal auditor notes that inventory counts are conducted on Mondays only and that all documentation is on paper as there are no computers in the underground warehouses. Also, she notices that the person responsible for receiving the goods is the same one who distributes materials and spare parts. Finally, she sees that spare parts are written off and taken by the heads of mining units to different underground locations to wait for their turn to be installed.
Which of the described findings requires more consideration from a fraud risk perspective?

QUESTION 147
When internal auditors are preparing workpapers for the testing stage of an engagement, which of the following guidelines should be observed?
1. Include copies of all client files that were reviewed for the audit.
2. Avoid the use of professional, industry-appropriate jargon and technical terms.
3. Indicate the original sources of all data and information used in the workpapers.
4. Leave blank space for cross-references to be completed during the post-audit process.

QUESTION 148
Suspecting fraud, the chief financial officer (CFO) asked the internal audit activity to investigate a significant increase in travel related expenditures. Work was performed by a qualified internal auditor. Following the completion of the engagement, the chief audit executive (CAE) reported to the CFO that no violations were found and no fraud had occurred.
According to the Standards, which of the following principles did the CAE violate?

QUESTION 149
Which of the following is the most appropriate reason for a chief audit executive to conduct an external assessment more frequently than five years?

QUESTION 150
According to NA guidance, which of the following actions by the chief audit executive would best ensure that internal auditors demonstrate due professional care?

QUESTION 151
According to IIA guidance, which of the following best describes acceptable methods for internal auditors to obtain qualified continuing professional education hours?