Practice IIA-CIA-Part2 Exam Online

Question 1

To effectively communicate the acceptance of risk in an organization a chief audit executive must first consider which of the following?

A : The organization-s view on risk tolerance

B : The organization-s principal risk events.

C : The organization-s risk response strategies

D : The organization-s major control activities

Answer: A

Question 2

Which of the following best describes external benchmarking using trend analysis for a subsidiary of an international company?

A :

Comparing the current ratio of the subsidiary with the current ratio of another company for the same period

B :

Comparing common-size financial statements of the subsidiary with the averages of the industry for the last two periods

C : Comparing the sales of the subsidiary with the sales of another subsidiary for the last two periods.

D : Comparing the sales of the subsidiary with the budgeted figures for the last two periods

Answer: B

Question 3

Senior management wants assurance that third-party contractors are following procedures as agreed with the organization. Which type of audit would be most appropriate to achieve this objective?

A : A compliance audit.

B : A due diligence audit.

C : A financial audit.

D : An external audit.

Answer: A

Question 4

During an assurance engagement, an internal auditor discovered that a sales manager approved numerous sales contracts for values exceeding his authorization limit. The auditor reported the finding to the audit supervisor, noting that the sales manager had additional new contracts under negotiation. According to IIA guidance, which of the following would be the most appropriate next step?

A : The audit supervisor should include the new contracts in the finding for the final audit report.

B :

The audit supervisor should communicate the finding to the supervisor of the sales manager through an interim report.

C :

The audit supervisor should remind the sales manager of his authority limit for the contracts under negotiation.

D :

The auditor should not reference the new contracts, because they are not yet signed and therefore cannot be included in the final report.

Answer: B

Question 5

Which of the following best describes the four components of a balanced scorecard?

A : Customers, innovation, growth, and internal processes.

B : Business objectives, critical success factors, innovation, and growth.

C : Customers, support, critical success factors, and learning.

D : Financial measures, learning and growth, customers, and internal processes.

Answer: D

Name:	Practice of Internal Auditing
Exam Code:	IIA-CIA-Part2
Certification:	Certified Internal Auditor
Vendor:	IIA
Total Questions:	485
Last Updated:	Sep 03, 2026

IIA IIA-CIA-Part2 Answers