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NEW QUESTION 52
Which of the following situations is most likely to impair internal audit objectivity?

A. An internal auditor performs an audit in a department that is led by the auditor's close friend.B. An internal auditor, who was an accounts receivable intern for the organization three years prior, performs an audit of the accounts receivable cycle.C. According to policy, the internal auditor must obtain approval from the CFO prior to requesting information for internal audit purposes.D. An internal auditor reports both functionally and administratively to the chief financial officer (CFO).

Answer: A

 

NEW QUESTION 53
Click the Exhibit.

Internal auditors are asked to keep track of how many hours per day they spend planning the audit, conducting the engagement, and writing the audit report. The data for two days has been collected as follows:
Day 1
Day 2
Planning the audit
2 hours
3 hours
Conducting the engagement
1 hour
1 hour
Writing the audit report
2 hours
4 hours
Which of the following graphs depicts the data accurately?

A. Graph A onlyB. Neither A nor B.C. Both A and B.D. Graph B only

Answer: C

 

NEW QUESTION 54
According to COSO, which of the following describes a principle related to the control environment?

A. The organization selects and develops control activities that contribute to the mitigation of risks.B. The organization identifies and assesses changes that could significantly impact the system of internal control.C. The organization establishes appropriate authorities and responsibilities in the pursuit of objectives.D. The organization performs evaluations to ascertain whether internal control components are present and functioning.

Answer: C

 

NEW QUESTION 55
......

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