CIA-Part1-2025

CIA-Part1-2025 practice questions, page 5 of 5, with answer review and explanations.

Question 21

A financial institution intends to contract a data center management service provider to host and manage the data in its custody as a response to data security and protection risks. What technique is being adopted by this organization?

  1. Risk acceptance.
  2. Risk avoidance.
  3. Risk sharing.
  4. Risk reduction.

Question 22

During an internal audit of an organization’s fixed assets, an internal auditor finds that several assets are not recorded in the organization’s ledger but are physically present during the site review. The equipment is in poor condition, suggesting it has been used for a long time. Which of the following actions should the auditor take?

  1. Inform management of potential theft and suggest performing a physical inventory.
  2. Perform additional tests to investigate possible overstating of fixed assets.
  3. Ask the asset manager about the unrecorded assets to clarify the issue.
  4. Suggest management write off the equipment as it is in poor condition.

Question 23

Which type of engagement would be the most appropriate to assess the maturity and rigor of the organizationwide risk management process of a target entity that management is considering acquiring?

  1. A due diligence engagement.
  2. An operational audit engagement.
  3. A feasibility study engagement.
  4. A risk and control self-assessment engagement.

Question 24

Which of the following roles related to the organization’s risk management is required of the internal audit function, according to IIA guidance?

  1. Consolidating reporting on the organization’s risk management.
  2. Determining whether risk management processes are effective.
  3. Advising on risk responses that will ensure the organization’s risk levels are within its established risk appetite.
  4. Coordinating the organization’s risk management activities.

Question 25

An internal auditor is preparing for an overseas engagement. As part of the engagement, the auditor will conduct interviews with managers from various regional offices around the world. Which of the following is the most important for the auditor to consider in establishing good relationships with regional managers?

  1. That cultural norms at the corporate headquarters may apply to most of the regional offices.
  2. That business relationships at the corporate headquarters match those at each of the regional offices.
  3. That viewpoints expressed from the corporate headquarters are consistent among the regional offices.
  4. That communication skills used at the corporate headquarters should be adapted for each of the regional offices.