Free IIA IIA-CRMA Exam Dumps Questions & Answers

Which the following activities should be performed by the internal audit activity to facilitate an effective relationship with the audit committee?
1. Periodically report about the accounting standards followed by the organization.
2. Provide assurance to the audit committee that its charter, activities, and processes are appropriate.
3. Ensure that the role and activities of the internal audit activity are clearly understood and responsive to the needs of the audit committee.
4. Maintain open and effective communications with the audit committee.

• A.  2, 3, and 4 only
• B.  1 and 2 only
• C.  1, 3, and 4 only
• D.  3 and 4 only

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.  2 and 3.
• B.  1 and 4.
• C.  3 and 4.
• D.  1 and 2.

During an account receivables audit, an internal auditor found a significant number of input errors resulting in a $500, 000 balance understatement.
Which of the following is the most important question the internal auditor should ask to develop an appropriate recommendation for this finding?

• A.  When?
• B.  Why?
• C.  How?
• D.  Who?

Which of the following would most likely be considered a red flag for fraud?

• A.  A senior manager has been delegating the authority to sign-off on small dollar amount purchases to a subordinate.
• B.  An employee in charge of payroll disbursements has rotated these duties with several colleagues.
• C.  An employee with significant personal debt is in charge of handling large wire transfers for the organization.
• D.  An organization lacks a whistleblower hotline for reporting suspicious activity.

Which of the following behaviors could represent a significant ethical risk if exhibited by an organization's board?

• A.  Intervening during an audit involving ethical wrongdoing.
• B.  Authorizing an investigation of an unsafe product.
• C.  Discussing periodic reports of ethical breaches.
• D.  Requesting a private meeting with senior management, without the presence of the chief audit executive.