IIA Updated IIA-CIA-Part1 Exam Questions and Answers by hidayah

Ensuring that internal audit staff are regularly informed of changes to policies and procedures is crucial for maintaining due professional care. Regular updates ensure that auditors are aware of current standards, methodologies, and best practices, which helps them perform their duties effectively and with due diligence.

Option A: Reviewing workpapers after the final engagement report is issued is too late to ensure due professional care.

Option B: Independent assessments by entry-level staff might not ensure the required objectivity and proficiency.

Option D: Destroying training documents does not contribute to due professional care and may hinder ongoing training and development efforts.

References:

IIA Standard 1230: Continuing Professional Development.

IIA Standard 1220: Due Professional Care.

The board of directors is responsible for the oversight of the organization's governance framework, which includes obtaining assurance on external financial, regulatory, and internal audits. This responsibility is crucial for ensuring the integrity and accuracy of financial reporting and compliance with laws and regulations. Management, on the other hand, is responsible for operational activities, such as complying with laws, assigning authority, and monitoring performance. References:

Institute of Internal Auditors (IIA) - Governance and oversight responsibilities.

IIA's International Professional Practices Framework (IPPF).

The most effective way for an organization to ensure proper governance over its internal controls is by adopting the COSO (Committee of Sponsoring Organizations of the Treadway Commission) internal control framework. The COSO framework is widely recognized and provides a comprehensive structure for designing, implementing, and conducting internal control and assessing its effectiveness. It helps organizations to achieve their objectives in operations, reporting, and compliance by addressing components such as control environment, risk assessment, control activities, information and communication, and monitoring activities. References: The IIA’s International Standards for the Professional Practice of Internal Auditing (Standards), specifically Standard 2100 - Nature of Work, and COSO’s Internal Control - Integrated Framework.

Internal audit activities are expected to contribute to the improvement of the organization's governance processes. To effectively fulfill this role, internal auditors must work with the board to agree on the scope of their governance assessments. This includes defining the range of activities to be reviewed, the depth of these reviews, and the time period covered. Achieving this agreement ensures that the internal audit's evaluation aligns with the board's expectations and the organization's strategic objectives, thereby enhancing the overall governance framework.

References:

IIA Standard 2110: Governance

IIA Practice Guide: Assessing Organizational Governance