Most Recent IIA-CIA-Part1 Exam Dumps

The primary role of the internal audit activity in relation to an organization's internal controls is to provide an independent evaluation of risk management processes and internal control systems. This involves analyzing and advising on the costs versus benefits of control activities, ensuring that the controls are not only effective but also efficient in mitigating risks. Reference: IIA Performance Standard 2130 - Control

The most effective technique for an internal auditor during interviews is to appear confident but not arrogant, as per option D. This approach helps maintain professionalism and facilitates open communication, which is crucial for gathering accurate information. This technique aligns with the IIA's guidelines on effective communication and professionalism during audit engagements. The other options could potentially lead to misunderstandings or might not create an environment conducive to honest and clear communication. Reference:

IIA Practice Advisory on Interviewing Techniques

When the chief audit executive (CAE) is responsible for risk management, it is essential to maintain the independence and objectivity of the internal audit activity. Therefore, the oversight of the internal audit activity's assurance over risk management should be assigned to a party outside of the internal audit activity. This ensures that there is no conflict of interest and that the internal audit function can provide unbiased assurance on risk management processes. Reference:

The IIA's Standards, particularly Standard 1112 on Chief Audit Executive Roles Beyond Internal Auditing.

The IIA's Practice Guide on Independence and Objectivity.

Requiring the matching of a purchase order (PO), receiving report, and invoice before payment is a robust control designed to prevent overpayment and other types of fraudulent activities related to vendor payments. This control ensures that:

The goods or services invoiced were actually ordered (verified by the purchase order).

The goods or services were received (verified by the receiving report).

The invoice amount matches the agreed-upon terms and quantities (verified by the invoice).

This three-way match process helps prevent discrepancies such as overpayments, duplicate payments, or payments for goods/services not received. By ensuring all three documents align, it mitigates the risk of fraud and errors in vendor payments.

The Institute of Internal Auditors (IIA) Standards and Practice Advisories.

COSO Internal Control -- Integrated Framework, specifically on control activities.

'Internal Auditing: Assurance & Advisory Services' by IIA, Chapter on Procurement and Accounts Payable Controls.

Given the restrictions on in-person contact due to the global health crisis, a virtual meeting with management to discuss the automobile production process is the most direct and interactive alternative. This approach would allow the internal auditors to ask real-time questions and get insights directly from those who manage and understand the production process, thus compensating for the inability to conduct onsite inspections. Reference: Institute of Internal Auditors (IIA) - Guidance on Alternative Training Methods during Disruptions.