IIA-CIA-Part3 Practice Test

IIA-CIA-Part3 Practice Test practice questions, page 20 of 26, with answer review and explanations.

Question 96

Which of the following best describes an objective for an audit of an environmental management system?

  1. To assess whether an annual control review is necessary.
  2. To determine conformance with requirements and agreements.
  3. To evaluate executive management oversight.
  4. To promote environmental awareness.

Question 97

Which of the following statements is true regarding the roles and responsibilities associated with a corporate social responsibility (CSR) program?

  1. The board has overall responsibility for the internal control processes associated with the CSR program.
  2. Management has overall responsibility for the effectiveness of governance, risk management, and internal control processes associated with the CSR program.
  3. The internal audit activity is responsible for ensuring that CSR principles are integrated into the organization's policies and procedures.
  4. Every employee has a responsibility for ensuring the success of the organization's CSR objectives.

Question 98

Which of the following descriptions of the internal control system are indicators that risks are managed effectively? 1. Existing controls promote compliance with applicable laws and regulations. 2. The control environment is designed to address all identified risks to the organization. 3. Key controls for significant risks to the organization remain consistent over time. 4. Monitoring systems are in place to alert management to unexpected events.

  1. 1 and 3.
  2. 1 and 4.
  3. 2 and 3.
  4. 2 and 4.

Question 99

Which of the following is true regarding the COSO enterprise risk management framework?

  1. The framework categorizes an organization's objectives to distinct, non overlapping objectives.
  2. Control environment is one of the framework's eight components.
  3. The framework facilitates effective risk management, even if objectives have not been established.
  4. The framework integrates with, but is not dependent upon, the corresponding internal control framework.

Question 100

Which of the following is a major advantage of decentralized organizations, compared to centralized organizations?

  1. Decentralized organizations are more focused on organizational goals.
  2. Decentralized organizations streamline organizational structure.
  3. Decentralized organizations tend to be less expensive to operate.
  4. Decentralized organizations tend to be more responsive to market changes.