Free CIA Exam Braindumps (page: 27)

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Which statement is not true regarding the performance management process?

  1. Staff specialists own the process in order to ensure implementation and accountability.
  2. Subordinates and superiors have shared responsibility for managing the process.
  3. Performance management is linked to competence and knowledge management.
  4. Performance management is integrated into other organizational and human resource processes.

Answer(s): A



Which of the following environments is most likely to help prevent fraud within an organization?

I). Realistic organizational goals and objectives have been set.
II). Legal counsel is available for consultation on a timely basis.
III). Procedures exist to investigate fraud when it is identified.
IV). A well-designed control system exists.

  1. I and II only.
  2. I and IV only.
  3. II and III only.
  4. III and IV only.

Answer(s): B



Which of the following is an objective of internal control?

  1. Reconciliation.
  2. Accuracy.
  3. Segregation of duties.
  4. Authorization.

Answer(s): B



An internal audit activity encounters a scope limitation from senior management that will affect its ability to meet its goals and objectives for a potential engagement client.
The nature of the scope limitation should be

  1. Noted in the audit workpapers, but the engagement should be carried out as scheduled, with any necessary adjustments made based on the scope limitation.
  2. Communicated to the external auditors so that they can investigate the area in more detail.
  3. Communicated, preferably in writing, to the board.
  4. Communicated to management, stating that the limitation will not be accepted because it would impair the audit activity's independence.

Answer(s): C






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