Internal Auditing Exam 1 Multiple Choice
The proper organizational role of internal auditing is to: correct answer Serve as an
independent, objective assurance and consulting activity that adds value to operations.
Which Standards expand upon the other categories of Standards? correct answer
Implementation Standards
The internal audit activity's scope of responsibilities includes: correct answer Evaluating Risk
The Standards consist of three types of Standards. Which Standards apply to the characteristics
of providers of internal auditing services? correct answer Attribution Standards
According to The IIA's International Professional Practices Framework, which of the following
constitute mandatory guidance for implementing the Standards? correct answer Performance
Standards
The types of services provided by the internal audit activity can best be described as: correct
answer Assurance and Consulting
Support from which persons or combination of persons listed below is most important to the
success of the internal audit activity: correct answer Management and the board
In analyzing the differences between two recently merged business, the chief audit executive of
Organization A notes that is has a formal code of ethics and Organization B does not. The code
of ethics covers such things as purchase agreements, relationships with vendors, and other
issues. Its purpose is to guide individual behavior within the firm. Which of the following
statements regarding the existence of the code of ethics in A can be logically inferred?
1. A exhibits a higher standard f ethical behavior than does B.
2. A has established objective criteria by which an individual's actions can be evaluated.
3. The absence of a formal code of ethics in B would prevent a successful review of ethical
behavior in that organization. correct answer 2 only
