QUESTION: 61 Exam Topic: 1, Volume A

Which of the following is used to identify and prioritize critical business applications to determine those that must be restored and the order of restoration in the event that a disaster impairs information systems processing?

Contingent facility contract analysis.
System backup analysis.
Vendor supply agreement analysis.
Risk analysis.

Answer(s): D

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QUESTION: 62 Exam Topic: 1, Volume A

In forming a team to investigate an organization's potential adoption of an activity-based costing system, the best reason to include an internal auditor on the team would be the auditor's knowledge of:

Activities and cost drivers.
Information processing procedures.
Current product cost structures.
Internal control alternatives.

Answer(s): D

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QUESTION: 63 Exam Topic: 1, Volume A

Given the scarcity of internal audit resources, a chief audit executive (CAE) decided not to
schedule a follow-up of audit recommendations when developing engagement work schedules.
Does the CAE's decision violate the Standards?

No, because the Standards do not specify whether follow-up is needed.
No, because when there is evidence of sufficient motivation by the client, there is no need for follow-up action.
Yes, because scarcity of resources is not a sufficient reason to omit follow-up action.
Yes, because the Standards require the auditors to determine whether the client has appropriately implemented all of the auditor's recommendations.

Answer(s): C

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QUESTION: 64 Exam Topic: 1, Volume A

An auditor for a major retail company suspects that inventory fraud is occurring at three stores which have high costs of goods sold. Which of the following audit activities would provide the most persuasive evidence that fraud is occurring?

Use an integrated test facility (ITF) to compare individual sales transactions with test transactions submitted through the ITF and investigate all differences.
Interview the three individual store managers to determine if their explanations about the observed differences are the same, and then compare their explanations to that of the section manager.
Schedule a surprise inventory audit to include a physical inventory and investigate areas of inventory shrinkage.
Select a sample of individual store prices and compare them with the sales entered on the cash register for the same items.

Answer(s): C

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Free IIA-CIA-Part2 Exam Braindumps (page: 16)

QUESTION: 61 Exam Topic: 1, Volume A

QUESTION: 62 Exam Topic: 1, Volume A

QUESTION: 63 Exam Topic: 1, Volume A

QUESTION: 64 Exam Topic: 1, Volume A