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

2. A large trucking organization wants to reduce traffic accidents by improving its system of internal controls.
Which of the following controls is correctly classified?
1. Review of speeding violations to identify repetitive locations and drivers is an example of a preventive control.
2. Defensive driver training is an example of a directive control.
3. The installation of tracking devices in delivery vehicles is an example of a corrective control.
4. Providing a vehicle driver handbook is an example of a detective control.

A) 1 and 4.
B) 3 and 4.
C) 1 and 2.
D) 2 and 3.

3. According to IIA guidance, which of the following best describes internal auditors' responsibility regarding fraud?

A) Internal auditors should take a leading role in investigating all fraud-related cases.
B) Internal auditors should report all fraud cases to law enforcement agents, in accordance with the Code of Ethics.
C) Internal auditors must have sufficient knowledge to evaluate the risk of fraud.
D) Internal auditors are responsible for ensuring that fraud does not occur.

4. Which of the following is not an objective of internal control?

A) Efficiency.
B) Accuracy.
C) Validation.
D) Compliance.

5. Which of the following types of social responsibilities is voluntary and guided purely by the organization's desire to make social contributions?

A) Innovative responsibility.
B) The bottom of the pyramid responsibility.
C) Discretionary responsibility.
D) Ethical responsibility.

Solutions: