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IIA Internal Audit Practitioner Sample Questions:

1. According to IIA guidance, which one of the following hiring strategies is most appropriate to fill internal audit positions?

A) Assess each candidate's competency for an upcoming audit
B) Recruit candidates to fulfill the skills requirement of the internal audit activity
C) Hire the required number of internal auditors to accomplish the audit plan

2. Which of the following describes an internal auditor's use of external benchmarking?

A) The auditor evaluates operating income margin between geographical areas within an organization to analyze its profitability.
B) The auditor compares return on equity for a beverage company against its competitor to analyze profitability.
C) The auditor calculates the net profit margin for a business segment to analyze the profitability.

3. Information collected and documented in audit workpapers should be sufficient to:

A) Support engagement observations and be consistent with engagement objectives.
B) Allow the work to be repeated and achieve the same results that logically lead to the same conclusion.
C) Confirm that management has effectively implemented recommended actions to resolve all identified control weaknesses.

4. During a procurement process consulting engagement, the internal auditors reviewed contracts for the hospital's supply of medicine. Which of the following would the internal auditors most likely recommend to improve the effectiveness of the procurement process?

A) The procurement process must be comprehensively documented.
B) The procurement process should begin with clearly specified needs.
C) Only qualified procurement professionals should manage the procurement process.

5. Which of the following best describes the knowledge, skills, and abilities that internal auditors should possess with regard to fraud?

A) Expertise in detecting and investigating fraud.
B) Sufficient knowledge to evaluate the risk of fraud.
C) Specialized skills for developing and implementing controls to prevent fraud.

Solutions: