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IIA Certification in Risk Management Assurance Sample Questions:

1. The management at a national consumer goods organization implements a fair work and pay practice as well as a policy to treat employees equitably and consistently. Which common characteristics of fraud will the practice and policy most likely reduce?

A) Rationalization.
B) Commitment.
C) Opportunity.
D) Pressure or incentive.

2. An accounts receivable clerk receives cash payments, posts the payments to customer accounts, and prepares the daily cash deposit.
The clerk has been stealing some cash and manipulating the customer payments to hide the theft.
This fraud could be detected with which of the following controls?

A) Total cash deposits are compared with the bank reconciliation.
B) Names, amounts, and dates on remittance advices are reconciled with the names, amounts, and dates recorded in the cash receipts journal.
C) Total cash deposits for the month are reconciled to the cash receipts journal.
D) Monthly bank reconciliations are performed by the clerk on a timely basis.

3. Which of the following statements describes impairment to the internal auditor's objectivity?

A) An internal auditor reviews a purchasing agent's contract drafts prior to their execution.
B) An internal auditor receives a promotional gift that is available to the organization's employees.
C) An internal auditor performs an assessment of the operations for which he was recently responsible.
D) An internal auditor reduces the scope of an audit engagement due to budget restrictions.

4. A chief audit executive (CAE) is reviewing the internal audit activity's performance and is concerned that the average number of revisions to findings is steadily rising, making it increasingly difficult to trace the finding to the supporting evidence and workpapers. According to MA guidance, which of the following elements of the internal audit activity's quality assurance and improvement program would provide the CAE with the most helpful insight into the cause of this problem?

A) The type of audit productivity and performance statistics reported.
B) The adequacy of the day-to-day supervision and review process.
C) The scope and frequency of external assessments.
D) The overall effectiveness of the internal audit activity's periodic self assessments.

5. According to IIA guidance, which of the following external groups is most likely to represent a liability risk, based on activities associated with the organization's corporate social responsibility program?

A) Consumers.
B) Suppliers.
C) Activists.
D) Investors.

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