CIA Part 2 questions with correct answers

Governance process objectives Correct Answer-1. Promoting appropriate ethics and values within the organization. 2. Ensuring effective organizational performance management and accountability. 3. Communicating risk and control information to appropriate areas of the organization. 4. Coordinating the activities of and communicating information among the board, external and internal auditors, and management. Audit committee purpose Correct Answer-1. Helps keep external and internal auditors independent of management and to assure that the directors are exercising due care. 2. Selects the external auditors; reviews their overall audit plan; examines the results of external and internal auditing engagements; meets regularly with the CAE; and reviews the internal audit activity's engagement work schedule, staffing plan, and financial budget. These functions should increase public confidence that financial statements are fairly presented. Considerations when evaluating a code of conduct Correct Answer-comprehensiveness and compliance. The code should address the ethical issues that the employees are expected to encounter and provide suitable guidance. The internal auditor also must consider the extent to which employees are complying with the standards established. The objectives of Organizational development (OD) (one of change management approaches) Correct Answer-(1) deepen the sense of organizational purpose and align individuals with it; (2) promote interpersonal trust, communication, cooperation, and support; (3) encourage a problem-solving approach; (4) develop a satisfying work experience; (5) supplement formal authority with authority based on expertise; (6) increase personal responsibility; and (7) encourage willingness to change.