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IIA IIA-CHAL-QISA Exam Syllabus Topics:

Section	Objectives
Business Knowledge for Internal Auditing	- Financial and managerial accounting basics - Information systems and IT auditing concepts
Essentials of Internal Auditing	- Internal audit fundamentals and governance - Ethics and professional standards
Practice of Internal Auditing	- Audit planning and risk assessment - Audit execution and evidence collection

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IIA Qualified Info Systems Auditor CIA Challenge Exam Sample Questions (Q151-Q156):

NEW QUESTION # 151
In the years after the mid-service point of a depreciable asset, which of the following depreciation methods will result in the highest depreciation expense?

A. Double-declining balance.
B. Sum of the years' digits.
C. Straight line.
D. Declining balance.

Answer: A

Explanation:
Depreciation methods allocate the cost of an asset over its useful life. Different methods impact the depreciation expense reported each year.

NEW QUESTION # 152
Which of the following actions should the internal audit activity take during an audit engagement when examining the effectiveness of risk management processes?

A. Verify that organizational objectives are aligned with each departments objectives.
B. Evaluate how the organization manages fraud risk.
C. Ensure risk responses are aligned with industry standards
D. Establish procedures for improving risk management processes.

Answer: B

Explanation:
Risk Management Evaluation: During an audit engagement examining the effectiveness of risk management processes, the internal audit activity should focus on evaluating how the organization manages various types of risks, including fraud risk.
Fraud Risk Management: This involves assessing the organization's mechanisms for identifying, assessing, and responding to fraud risks. It also includes reviewing the effectiveness of controls in place to prevent and detect fraudulent activities.
IIA Standards: Standard 2120 Risk Management emphasizes that internal auditors must evaluate the potential for the occurrence of fraud and how the organization manages fraud risk.
Comprehensive Approach:
Risk Assessment: Ensuring that the organization conducts thorough risk assessments to identify potential fraud risks.
Control Environment: Evaluating the control environment to ensure it supports ethical behavior and reduces opportunities for fraud.
Fraud Prevention and Detection: Reviewing the policies and procedures in place to prevent and detect fraud, including whistleblower mechanisms and fraud response plans.

NEW QUESTION # 153
A control is designed to detect duplicate payments after transactions have been processed.
This control is classified as:

A. Preventive.
B. Corrective.
C. Directive.
D. Detective.

Answer: D

Explanation:
The control identifies issues after processing occurs, making it detective in nature.

NEW QUESTION # 154
According to ISO 31000, which of the following statements is correct?

A. The internal audit activity can give objective assurance on any part of the risk management framework for which it is responsible.
B. The board is responsible for setting the organizational attitude through tone at the top.
C. The internal audit activity will provide assurance over operating effectiveness but not over the design of risk management activities
D. The framework is designed to be effective for organizations no matter how small.

Answer: D

Explanation:
According to ISO 31000, the risk management framework is scalable and applicable to organizations of all sizes, including small entities. The framework's principles are designed to be flexible and adaptable, ensuring they can be effectively implemented regardless of the organization's size.
Scalability: The principles and guidelines of ISO 31000 can be tailored to fit the specific context, resources, and complexity of any organization, making it a universal standard.
Flexibility: The framework supports organizations in integrating risk management practices into their operations at a level that suits their size and complexity.
Effectiveness: Regardless of the organization's size, the framework aims to enhance risk management practices and support better decision-making.

NEW QUESTION # 155
With regard to project management, which of the following statements about project crashing is true?

A. It is a compression technique in which resources are added to the project
B. It leads to an increase in risk and often results in rework.
C. It is an optimization technique where activities are performed in parallel rather than sequentially
D. It involves a revaluation of project requirements and/or scope.

Answer: A

Explanation:
Project crashing is a schedule compression technique used in project management to shorten the project duration without changing the project scope. It involves adding additional resources to critical path activities to complete them faster. This method can lead to increased costs but aims to reduce the project timeline effectively. Crashing is often used when project deadlines are tight and time is more critical than budget.

NEW QUESTION # 156
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