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NEW QUESTION 52
In which of the following scenarios would a customer service hotline receive a high volume of complaints regarding payments not being applied to customers' accounts?

A. Employees are submitting fraudulent expense reports.B. Invoices are not being mailed to customers.C. An employee is tampering with customer checks.D. The customer service department is not forwarding complaints to the accounts receivable department.

Answer: C

 

NEW QUESTION 53
Which of the following combinations of conditions is most likely a red flag for fraud?

A. The practice of surprise audits and the implementation of an employee support program.B. Hiring an employee with a prior fraud conviction and yearly management review.C. Occasional accounting department overrides and discontinuation of the anonymous fraud hotline due to infrequent use.D. A veteran employee in upper management experiencing financial difficulties and recently implemented enhanced controls.

Answer: C

 

NEW QUESTION 54
A new internal audit activity is creating its first charter. According to IIA guidance, which of the following objectives would be appropriate for inclusion in the charter?

A. Oversee the establishment and administration of an effective risk management program.B. Continuously monitor the organization's overall risk activities in relation to its risk appetite.C. Evaluate the adequacy and effectiveness of the organization's governance activities.D. Assist management in implementing recommended control improvements.

Answer: A

 

NEW QUESTION 55
Which of the following risk management activities is most appropriate for an internal auditor to undertake?

A. Coordinate risk management activities.B. Impose risk management processes.C. Implement risk responses on management's behalf.D. Review the management of key risks.

Answer: D

 

NEW QUESTION 56
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