[Oct-2026] The Best Certified Internal Study Guide for the IIA-CIA-Part2 Exam [Q72-Q89]

Q72. The balanced scorecard approach differs from traditional performance measurement approaches because it adds which of the following measures?
I. Financial measures.
II. Internal business process measures.
III. Client satisfaction measures.
IV. Innovation and learning measures.

Q73. Which of the following best illustrates the primary focus of a risk-based approach to control self-assessment?

Q74. An organization has recently incurred significant cost overruns on one of its construction projects. Management suspects that these overruns were caused by the contractor improperly charging for costs related to contract change orders. Which of the following procedures are appropriate for testing this suspicion?
1.Determine if the contractor has received proper approval of change orders from management.
2.Determine if the contractor has billed for original contract work cancelled by the change orders.
3.Determine if the contractor has charged change orders with costs already billed to the original contract.
4.Determine if the contractor has been paid for change orders that have not yet been completed.

Q75. Which of the following should be included in a privacy audit engagement?
1. Assess the appropriateness of the information gathered.
2. Review the methods used to collect information.
3. Consider whether the information collected is in compliance with applicable laws.
4. Determine how the information is stored.

Q76. According to IIA guidance, which of the following individuals should receive the final audit report on a compliance engagement for the organization’s cash disbursements process?

Q77. Which of the following would cause a company’s accounts receivable turnover ratio to decrease steadily over a three-year period?

Q78. An auditor is using an internal control questionnaire as part of a preliminary survey. Which of the following is the best reason for the auditor to interview management regarding the questionnaire responses?

Q79. During follow-up. the internal auditor discovered that operational management did not implement effective actions to address a significant control breach If the issue is left unresolved it may result in regulatory sanctions and damage the organization’s reputation What is the most appropriate next step for the chief audit executive to lake?

Q80. Which two of the following considerations must an internal auditor take into account while planning an audit of an accounting system/application that has been in use for the last five years?
* The level and manner of linkages between the business’ mission, objectives, and structure and the accounting system/application.
* Presence or absence of computerized and manual controls that address risks.
* Identification of risks at the application level, e.g. availability and security of the system.
* Testing of the system/application for bugs and errors.

Q81. In order to effectively elicit sensitive information from an employee during an audit engagement, an auditor should:

Q82. A senior internal auditor is hired within the internal audit activity for a period of two years before advancing to an operations manager role within the business operations team. When staffing arrangement is being used in this scenario?

Q83. Which of the following represents appropriate evidence of supervisory review of engagement workpapers?
I. A supervisor’s initials on each workpaper.
II. An engagement workpaper review checklist.
III. A memorandum specifying the nature, extent, and results of the supervisory review of workpapers.
IV. Performance appraisals that assess the quality of workpapers prepared by auditors.

Q84. During the audit of a large decentralized supply chain function, the chief audit executive (CAE) receives serious allegations of fraud concerning the vice president responsible for this function. The CAE engages a third party to provide forensic audit services and lead the investigation portion of the engagement. As part of this team, which of the following would be an appropriate role for the investigator?
1. Authenticate the original approval signatures on contracts.
2. Interview personnel to understand the supply chain processes.
3. Provide certified copies of relevant original documents for the audit file.
4. Identify variances in pixels on original electronic documents.

Q85. A bakery chain has a statistical model that can be used to predict daily sales at individual stores based on a direct relationship to the cost of ingredients used and an inverse relationship to rainy days. What conditions would an auditor look for as an indicator of employee theft of food from a specific store?

Q86. The chief audit executive (CAE) of a small internal audit activity (IAA) plans to test conformance with the Standards through a quality assurance review. According to the Standards, which of the following are acceptable practice for this review?
1. Use an external service provider.
2. Conduct a self-assessment with independent validation.
3. Arrange for a review by qualified employees outside of the IAA.
4. Arrange for reciprocal peer review with another CAE.

Q87. While reviewing the organization’s financial year-end processes, an internal auditor discovered an erroneous journal entry. If the error is not addressed, it will result in a material misstatement of the financial records. The internal auditor needs an additional four weeks to complete the audit engagement. How should the auditor communicate this finding?

Q88. A chief audit executive (CAE) reviews the supervision of an internal audit engagement Which of the following would most likely assure the CAE that the engagement had adequate supervision?

Q89. Which of the following approaches would best help an internal auditor determine whether a retailer database of 100,000 customers has nay duplicate accounts?