IIA IIA-CIA-Part2 Quiz 138 Topic 5 Questions 686-690

Question: 1

An internal auditor prepared a working paper that consisted of a list of employee names and identification numbers as well as the following statement: By matching random numbers with employee identification numbers, 40 employee personnel files were selected to verify that they contain all documents required by the organization's policy 501 No exceptions were noted. The internal auditor did not place any tick marks on this working paper. Which one of the following changes will improve the internal auditor's working paper the most?

AUse of tick marks to show that each file was examined.

BRemoval of the employee names to protect their confidentiality.

CJustification for the sample size.

DListing of the actual documents examined for each employee.

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Question: 2

Which of the following most completely describes the appropriate content of working papers?

AEngagement objectives, procedures, and conclusions.

BEngagement purposes, criteria, techniques, and recommendations.

CEngagement objectives, procedures, observations, conclusions, and recommendations.

DEngagement subject, purposes, sampling information, and analysis.

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Question: 3

Productivity statistics are provided quarterly to the board of directors. An internal auditor checked the ratios and other statistics in the four most recent reports. The internal auditor used scratch paper and copies of the reports to verify the accuracy of computations and compared the data used in the computations with supporting documents. The internal auditor wrote a note for the working papers describing these procedure{ and then discarded the scratch paper and report copies. The note stated, The ratios and other statistics in the quarterly reports to the board were checked for the last 4 quarters and appropriate supporting documents were examined. All amounts appear to be appropriate. In this situation,

AFour quarters do not provide a large enough sample on which to base a conclusion.

BThe internal auditor's working papers are not sufficient to facilitate an efficient review of the internal auditor's work.

CThe internal auditor should have included the scratch paper in the working papers.

DThe internal auditor did not consider whether the information in the report to the board was compiled efficiently.

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Question: 4

Engagement working papers include

AProviding a basis for evaluating the internal audit quality program.

BCopies of all source documents examined in the course of the engagement.

CCopies of all procedures that were reviewed during the engagement.

DAll working papers prepared during a previous engagement performed in the same area.

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Question: 5

Employees using personal computers have been reporting occupational injuries and claiming substantial workers' compensation benefits. The working papers of an engagement performed to determine the extent of the organization's exposure to such personal injury liability should include

AAnalysis of claims by type of equipment and extent of use by individual employees.

BConfirmations from insurance carriers as to claims paid under workers' compensation policies in force.

CReviews of documentation supporting purchases of personal computers.

DListings of all personal computers in use and the employees who use them.

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IIA IIA-CIA-Part2 Quiz:138 Topic:5 Questions:686-690