Pass IIA-CRMA Exam in First Attempt Guaranteed 100% Cover Real Exam Questions [Dec-2021]
Valid IIA-CRMA test answers & IIA IIA-CRMA exam pdf
IIA IIA-CRMA Exam Syllabus Topics:
| Topic | Details |
|---|---|
| Topic 1 |
|
| Topic 2 |
|
| Topic 3 |
|
| Topic 4 |
|
| Topic 5 |
|
| Topic 6 |
|
| Topic 7 |
|
| Topic 8 |
|
| Topic 9 |
|
| Topic 10 |
|
NEW QUESTION 51
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. Suppliers.
- B. Investors.
- C. Consumers.
- D. Activists.
Answer: D
NEW QUESTION 52
Which of the following is not one of the 10 core competencies identified in the IIA Competency Framework?
- A. Performance management.
- B. Internal audit delivery.
- C. Governance, risk, and control.
- D. Business acumen.
Answer: A
NEW QUESTION 53
Which of the following controls could an internal auditor reasonably conclude is effective by observing the physical controls of a large server room?
- A. Adequate signs are in place to assist in locating safety equipment.
- B. Servers are secured individually to their racks by locks.
- C. Foam fire extinguishers are operable to protect against electrical fires.
- D. Swipe card access is required to gain access to the server room.
Answer: A
NEW QUESTION 54
Why is a code of ethics for the internal audit profession necessary?
- A. It guides internal auditors in their service to others.
- B. It provides auditors with protection from lawsuits.
- C. It requires auditors to exhibit loyalty to their organizations.
- D. It ensures that all members of the profession possess the same level of competence.
Answer: A
NEW QUESTION 55
Which of the following is an example of a transaction-level control?
- A. Inventory counts.
- B. Reconciliations of primary accounts.
- C. Tone at the top.
- D. Human resource policies.
Answer: B
NEW QUESTION 56
According to IIA guidance, the results of a formal quality assessment should be reported to which of the following groups?
- A. Senior management and management of the audited area.
- B. Senior management and the external auditors.
- C. The audit committee and senior management.
- D. The audit committee and the external auditors.
Answer: C
NEW QUESTION 57
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?
- A. In the first week at the new organization, the auditor discovers a high fraud risk surrounding the organization's database and suggests that the information technology department implement a new password system to prevent fraudulent actions before they occur.
- B. At the new organization, the auditor is asked to develop forms to implement probability-proportional-to-size sampling. Although unsure of how to perform this type of sampling, the auditor proceeds without asking for assistance.
- C. In preparing for an audit at the previous organization, the auditor had conducted a great deal of research on the Internet at home to identify best practices for the management of a treasury function. The auditor has retained much of the research and uses it to conduct an audit of the new employer's treasury function.
- D. To determine audit priorities in the new job, the auditor uses the audit risk approach that the auditor's previous employer used, without receiving permission to do so.
Answer: B
NEW QUESTION 58
An internal auditor is conducting an assessment of the organization's fraud prevention program using the COSO enterprise risk management framework. According to this framework, which of the following activities would fall under the control environment component for preventing fraud?
1. The organization uses an automated authority approval matrix to control payments.
2. The organization has a whistleblower hotline that is available to employees.
3. Annually, every manager completes a comprehensive fraud assessment of his or her department.
4. Annually, the organization reviews and communicates the code of expected behavior.
- A. 1 and 2.
- B. 2 and 3.
- C. 1 and 3.
- D. 2 and 4.
Answer: D
NEW QUESTION 59
An internal auditor is performing analytical reviews as part of an audit of a supermarket's merchandising department. Because the economy has declined since midyear, the auditor can expect to encounter which of the following?
- A. Lower sales volume.
- B. Higher operating margin.
- C. Higher inventory turnover.
- D. Lower obsolete stock disposal.
Answer: A
NEW QUESTION 60
According to IIA guidance, which of the following is least compliant with the requirements regarding an internal auditor's need for objectivity?
- A. An internal auditor, previously employed in the quality assurance operations area, performed a consulting engagement for the operations manager.
- B. An internal auditor assessed the effectiveness of controls over payroll software, which he had helped implement with a previous employer.
- C. An internal auditor participated in an audit of controls around absenteeism, despite providing some consultation on controls in this area earlier in the year.
- D. An internal auditor performed an assurance engagement for the effectiveness of accounts payable access controls, one of which he previously helped to design.
Answer: D
NEW QUESTION 61
Which of the following is the most effective strategy to manage the risk of foreign exchange losses due to sales to foreign customers?
- A. Implement a hedging strategy.
- B. Insist that customers only pay in a stable currency.
- C. Hire a risk consultant.
- D. Maintain a large foreign currency balance.
Answer: A
NEW QUESTION 62
Which of the following activities best reflects the scope and status of the internal audit activity as defined in the internal audit policy statement?
- A. The audit manager conducts an internal quality assessment of the internal audit activity's adherence to the Standards.
- B. The internal auditor reviews the physical access to merchandise during an inventory count.
- C. The board approves the annual performance evaluation of the chief audit executive.
- D. The audit manager refrains from assigning an auditor who was a former payroll clerk to conduct a payroll audit.
Answer: B
NEW QUESTION 63
A new chief audit executive (CAE) of a large internal audit activity (IAA) is dissatisfied with the current amount and quality of training being provided to the staff and wishes to implement improvements. According to IIA guidance, which of the following actions would best help the CAE reach this objective?
- A. Assign one experienced manager to better coordinate staff training and development activities.
- B. Perform a gap analysis of the IAA's existing knowledge, skills and competencies.
- C. Engage a consultant to benchmark the IAA's training program against its peers.
- D. Require that all staff obtain a minimum of two relevant audit certifications.
Answer: B
NEW QUESTION 64
An internal audit charter describes the mission and scope of the internal audit activity (IAA), responsibilities of the IAA, accountability of the chief audit executive, independence of the IAA, and standards followed by the IAA. Which of the following also should be included in the charter?
- A. The job specifications and descriptions of the internal audit staff.
- B. The IAA's right to have unrestricted access to functions, records, personnel, and physical property.
- C. A detailed audit plan or program for the year.
- D. The purpose of the IAA.
Answer: B
NEW QUESTION 65
An internal audit team is performing an audit of workplace accident claims.
Which of the following actions by the audit team best demonstrates due professional care?
- A. Reviewing claims to ensure all accidents actually occurred in the workplace.
- B. Having an occupational health officer on the engagement team.
- C. Determining that the claims have been classified properly.
- D. Placing reliance on medical reports from the injured worker's doctor.
Answer: B
NEW QUESTION 66
Which of the following is considered a violation of The IIA's Code of Ethics?
- A. An auditor conveys public information about an organization's financial condition.
- B. An auditor reports a manager's illegal activity to senior management, rather than reporting the incident to the appropriate external authority.
- C. An auditor receives allegations of fraud from a whistleblower and immediately reports the allegations to senior management.
- D. An auditor reports material deficiencies, despite the fact that management is already aware of the defects.
Answer: C
NEW QUESTION 67
In which of the following scenarios would a customer service hotline receive a high volume of complaints regarding payments not being applied to customers' accounts?
- A. An employee is tampering with customer checks.
- B. The customer service department is not forwarding complaints to the accounts receivable department.
- C. Invoices are not being mailed to customers.
- D. Employees are submitting fraudulent expense reports.
Answer: A
NEW QUESTION 68
What is the primary purpose of a fishbone diagram?
- A. To depict the areas of responsibility for departments in an organization.
- B. To plan and control complex projects, such as internal audits.
- C. To identify the possible causes of adverse conditions.
- D. To represent the frequencies of adverse conditions in a given process.
Answer: C
NEW QUESTION 69
Which of the following risk management activities is most appropriate for an internal auditor to undertake?
- A. Review the management of key risks.
- B. Impose risk management processes.
- C. Coordinate risk management activities.
- D. Implement risk responses on management's behalf.
Answer: A
NEW QUESTION 70
Upon joining the internal audit activity, each new auditor receives a copy of the audit handbook. Which of the following handbook policies has the greatest risk of compromising audit objectivity?
- A. Internal auditors should have direct and unrestricted access to personnel and information throughout the organization and the governing board.
- B. Internal auditors should undergo annual performance appraisals conducted by the chief audit executive, who reports administratively to the chief financial officer.
- C. Internal auditors should obtain 80 hours of continuing professional education every two years, 20 of which should be audit-related, and the remainder may be operations-related.
- D. Internal auditors should rotate to other areas of the organization for nonaudit assignments to gain an understanding of the organization's operations.
Answer: D
NEW QUESTION 71
According to IIA guidance, which of the following are macro-level audit activities performed for an assurance engagement of the purchasing department?
1. Obtain and review all purchasing-related audit reports issued within the past year.
2. Meet with the quality assurance group to discuss its previous reports of any purchasing-related findings.
3. Review a memo written by the purchasing manager that outlines ongoing problems with the purchasing software.
4. Request a copy of the report from a purchasing audit conducted last year by an external service provider.
- A. 2 and 4.
- B. 1 and 3.
- C. 1 and 2.
- D. 3 and 4.
Answer: C
NEW QUESTION 72
An internal auditor makes a series of observations when performing an analytical review of division operations. The auditor notes the following things: the current ratio is increasing and the quick ratio is decreasing, sales and current liabilities have remained constant, and the number of day sales in inventory is increasing. Which conclusion should the auditor draw from this data?
- A. Cash or accounts receivable has decreased.
- B. The gross margin has increased.
- C. The gross margin has decreased.
- D. The division produced fewer items this year than in prior years.
Answer: A
NEW QUESTION 73
Click the Exhibit.
Internal auditors are asked to keep track of how many hours per day they spend planning the audit, conducting the engagement, and writing the audit report. The data for two days has been collected as follows:
Day 1
Day 2
Planning the audit
2 hours
3 hours
Conducting the engagement
1 hour
1 hour
Writing the audit report
2 hours
4 hours
Which of the following graphs depicts the data accurately?
- A. Neither A nor B.
- B. Graph A only
- C. Graph B only
- D. Both A and B.
Answer: D
NEW QUESTION 74
An auditor identifies three errors in the sample of 25 entries selected for review (a 12 percent error rate).
Based on this result, the auditor assumes that approximately 59 of the total population of 492 entries are incorrect. To reach this assumption, the auditor has used a technique known as which of the following?
- A. Variability tolerance.
- B. Acceptance sampling.
- C. Stratification.
- D. Ratio estimation.
Answer: D
NEW QUESTION 75
Which of the following professional development approaches would offer internal auditors the most opportunities to broaden their engagement experiences?
- A. Assign more experienced internal auditors to mentor the less experienced auditors.
- B. Rotate internal auditors among different engagement assignments.
- C. Send internal auditors to external trainings in advanced internal audit topics.
- D. Appraise internal auditors' performance and competencies at least annually and issue constructive feedback.
Answer: B
NEW QUESTION 76
......
IIA-CRMA Exam Questions – Valid IIA-CRMA Dumps Pdf: https://www.prep4pass.com/IIA-CRMA_exam-braindumps.html
Verified IIA-CRMA dumps Q&As - Pass Guarantee: https://drive.google.com/open?id=1wzYrprv17YoMrAk-P2jVJx9DXPGo2Hoo
