Free IIA-CIA-Part1 Practice Test Questions 2026

Which of the following would be considered a primary control to reduce the risk associated with setting up duplicate vendors?

A. Receipt of a signed and approved vendor setup form.

B. Segregation of duties between setting up vendors and making vendor payments.

C. System validation and edit checks on vendor identification number

D. A vendor setup policy and procedure.

Which of the following is (he most effective way any organization can ensure proper governance over its internal controls?

A. By adopting the best practices of similar organizations in the industry.

B. By adjusting their internal control framework as business practices evolve.

C. By introducing the universally accepted COSO internal control framework.

D. By encouraging the internal audit activity to provide training on internal controls.

In its five years of existence, an internal audit activity conducted a single internal assessment of its quality assurance and improvement program (QAIP). The results of that assessment showed that the internal audit activity did not conform with the Standards. Prior to this, an external assessment of the internal audit activity's QAIP was conducted, which reported that the internal audit activity was in conformance with the Standards. Considering the two assessments, what would be the internal audit activity's current state of conformance with the Standards?

A. Conformance with the Standards.

B. Nonconformance with the Standards

C. Unable to determine conformance with the Standards.

D. Partial conformance with the Standards

Which of the following would provide the best support for internal auditors to meet their continuing professional development requirements?

A. Access to online internal audit and business skills courses.

B. Records of self-assessment reports completed by the internal audit staff.

C. Cosourcing arrangements with external providers on specific engagements.

D. Performance reviews comparing internal auditors' achievements against specified goals.

With regard to the internal audit activity's quality assurance and improvement program, which of the following topics would the chief audit executive include on the quarterly board meeting agenda?

A. The scope and frequency of both internal and external quality assessments.

B. The list of audit engagements that will be assessed during the year.

C. The number and qualifications of internal audit staff members assigned to perform internal assessments during the year.

D. The compensation structure of the qualified assessment team.

Which of the following best describes a consulting engagement rather than an assurance engagement?

A. Bank internal auditors review an activity checklist to determine that the loan officer followed proper procedures.

B. The chief financial officer asks for the internal auditor's opinion regarding whether the new accounting pronouncements were properly and comprehensively adopted.

C. An internal auditor is assigned to assess whether a proposed new initiative to convert a customer service system would be cost-effective.

D. Senior management asks the internal audit activity to review compliance with customer data security regulations.

Which risk management activity would cause the internal auditor to assume a management responsibility?

A. Assessing management's acceptance of risk.

B. Reviewing a cybersecurity risk report issued by management.

C. Developing a list of emerging risks for management.

D. Prioritizing risks for management.

An internal auditor believes that a weakness exists in the control environment relating to the delegation of authority and responsibility within the management structure. Which of the following actions should the internal auditor first consider in this matter?

A. Recommend a control change and obtain management support.

B. Evaluate the potential Impact on related controls.

C. Address the risk with senior management and the board.

D. Develop and communicate the scope and evaluation criteria to be used by management.

Which of the following would be most helpful to measure whether an internal audit activity successfully provides risk-based assurance?

A. Percentage of highly significant risks covered by internal audit plan.

B. Percentage of previously unknown risks identified per engagement.

C. Percentage of internal audit staff skilled in alignment with the organization's structure and key risks.

D. Percentage of observations made in assurance engagements compared to advisory engagements.

Which of the following circumstances would most likely be considered a potential red flag for fraud by the internal audit activity?

A. The monthly payroll reports are not vetted to ensure terminated employees have been removed from the payroll system.

B. The volume of nonroutine journal entries has steadily increased over time.

C. The database of approved suppliers has not been reviewed in the last year.

D. The recent employee survey indicates that some employees remain unaware of the organization’s whistleblower hotline.

Why is it imperative for the chief audit executive to track and develop the educational qualifications of internal audit staff?

A. To accurately conduct performance appraisals

B. To ensure that staff complete required continuing professional education credits annually.

C. To ensure that the resources needed to complete the audit plan are available.

D. To satisfy the audit committee requirements.

A chief audit executive (CAE) identifies that the internal audit activity lacks a necessary skill to perform a management request for a consulting engagement. According to IIA guidance, which of the following is the most appropriate action the CAE should take regarding the request?

A. Assign the engagement to a more senior internal auditor.

B. Decline the engagement request.

C. Allow the internal auditors to acquire the needed skills while performing the engagement.

D. Supervise the assigned internal auditors throughout the engagement.