WGU D560 REVIEW SET FULL SOLUTION
SOLVED QUESTIONS 2026 GRADED A+.
⫸ What are the four types of objectives in internal auditing? Answer:
Strategic, Operations, Reporting, and Compliance objectives.
⫸ What do strategic objectives pertain to? Answer: Goals set by
management related to stakeholder interests.
⫸ What is the focus of operations objectives? Answer: Effectiveness
and efficiency of the entity's operations, including operational and
financial performance goals.
⫸ What do reporting objectives encompass? Answer: Internal and
external financial and non-financial reporting, including reliability,
timeliness, and transparency.
⫸ What is the purpose of compliance objectives? Answer: To ensure
adherence to laws and regulations applicable to the entity.
⫸ What is governance in the context of internal auditing? Answer:
The combination of processes and structures implemented by the
board to inform, direct, manage, and monitor organizational activities.
,⫸ How is risk management defined? Answer: The process conducted
by management to understand and deal with uncertainties that could
affect the organization's objectives.
⫸ What is the role of control in risk management? Answer: To
mitigate risks to acceptable levels.
⫸ What distinguishes assurance engagements from consulting
engagements? Answer: The primary purpose, nature and scope
determination, and the parties involved.
⫸ Who is referred to as the auditee in an assurance engagement?
Answer: The people subject to assessment.
⫸ What is the role of the internal audit function in assurance
engagements? Answer: To determine the nature and scope of the
engagements.
⫸ What is meant by independence in internal auditing? Answer: The
freedom from conditions that threaten the ability to carry out audit
responsibilities without interference.
⫸ What does objectivity mean for an internal auditor? Answer: The
ability to make impartial, unbiased judgments.
⫸ What is the first step in planning an engagement? Answer:
Obtaining an understanding of the auditee or customer.
,⫸ What is the relationship between auditing and accounting?
Answer: Auditing reviews the measurements and communications of
accounting for propriety, while accounting involves the collection and
communication of financial data.
⫸ What does the Sarbanes-Oxley Act of 2002 require from
independent auditors? Answer: To attest to the effectiveness of a
company's internal control over financial reporting.
⫸ What is the primary audience for internal auditors' financial
reporting assurance services? Answer: Management and the board of
directors.
⫸ What are some changes affecting the internal audit profession?
Answer: Globalization, complex corporate structures, e-commerce,
technological advances, and corporate scandals.
⫸ What are the targets of internal audit attention? Answer:
Operational effectiveness, reliability of information systems,
safeguarding assets, and compliance with policies and regulations.
⫸ What types of consulting activities do internal auditors provide?
Answer: Advisory services, facilitative services, and training in
governance, risk management, and control processes.
, ⫸ What is the significance of communicating outcomes in internal
auditing? Answer: Communications must be accurate, objective, clear,
concise, constructive, complete, and timely.
⫸ What does cosourcing in internal auditing mean? Answer:
Cosourcing means supplementing an organization's in-house internal
audit function with third-party vendors.
⫸ Why might an organization choose to cosource its internal audit
function? Answer: Organizations may cosource to access specialized
internal audit knowledge and skills or when they lack sufficient in-
house resources.
⫸ What is the mission of the Institute of Internal Auditors (IIA)?
Answer: To provide dynamic leadership for the global profession of
internal auditing.
⫸ What are some activities the IIA supports to fulfill its mission?
Answer: Advocating the value of internal audit, providing
professional education, researching internal auditing knowledge, and
sharing best practices.
⫸ What is the International Professional Practices Framework
(IPPF)? Answer: The IPPF is a framework that provides mandatory
and recommended guidance for the professional practice of internal
auditing.
SOLVED QUESTIONS 2026 GRADED A+.
⫸ What are the four types of objectives in internal auditing? Answer:
Strategic, Operations, Reporting, and Compliance objectives.
⫸ What do strategic objectives pertain to? Answer: Goals set by
management related to stakeholder interests.
⫸ What is the focus of operations objectives? Answer: Effectiveness
and efficiency of the entity's operations, including operational and
financial performance goals.
⫸ What do reporting objectives encompass? Answer: Internal and
external financial and non-financial reporting, including reliability,
timeliness, and transparency.
⫸ What is the purpose of compliance objectives? Answer: To ensure
adherence to laws and regulations applicable to the entity.
⫸ What is governance in the context of internal auditing? Answer:
The combination of processes and structures implemented by the
board to inform, direct, manage, and monitor organizational activities.
,⫸ How is risk management defined? Answer: The process conducted
by management to understand and deal with uncertainties that could
affect the organization's objectives.
⫸ What is the role of control in risk management? Answer: To
mitigate risks to acceptable levels.
⫸ What distinguishes assurance engagements from consulting
engagements? Answer: The primary purpose, nature and scope
determination, and the parties involved.
⫸ Who is referred to as the auditee in an assurance engagement?
Answer: The people subject to assessment.
⫸ What is the role of the internal audit function in assurance
engagements? Answer: To determine the nature and scope of the
engagements.
⫸ What is meant by independence in internal auditing? Answer: The
freedom from conditions that threaten the ability to carry out audit
responsibilities without interference.
⫸ What does objectivity mean for an internal auditor? Answer: The
ability to make impartial, unbiased judgments.
⫸ What is the first step in planning an engagement? Answer:
Obtaining an understanding of the auditee or customer.
,⫸ What is the relationship between auditing and accounting?
Answer: Auditing reviews the measurements and communications of
accounting for propriety, while accounting involves the collection and
communication of financial data.
⫸ What does the Sarbanes-Oxley Act of 2002 require from
independent auditors? Answer: To attest to the effectiveness of a
company's internal control over financial reporting.
⫸ What is the primary audience for internal auditors' financial
reporting assurance services? Answer: Management and the board of
directors.
⫸ What are some changes affecting the internal audit profession?
Answer: Globalization, complex corporate structures, e-commerce,
technological advances, and corporate scandals.
⫸ What are the targets of internal audit attention? Answer:
Operational effectiveness, reliability of information systems,
safeguarding assets, and compliance with policies and regulations.
⫸ What types of consulting activities do internal auditors provide?
Answer: Advisory services, facilitative services, and training in
governance, risk management, and control processes.
, ⫸ What is the significance of communicating outcomes in internal
auditing? Answer: Communications must be accurate, objective, clear,
concise, constructive, complete, and timely.
⫸ What does cosourcing in internal auditing mean? Answer:
Cosourcing means supplementing an organization's in-house internal
audit function with third-party vendors.
⫸ Why might an organization choose to cosource its internal audit
function? Answer: Organizations may cosource to access specialized
internal audit knowledge and skills or when they lack sufficient in-
house resources.
⫸ What is the mission of the Institute of Internal Auditors (IIA)?
Answer: To provide dynamic leadership for the global profession of
internal auditing.
⫸ What are some activities the IIA supports to fulfill its mission?
Answer: Advocating the value of internal audit, providing
professional education, researching internal auditing knowledge, and
sharing best practices.
⫸ What is the International Professional Practices Framework
(IPPF)? Answer: The IPPF is a framework that provides mandatory
and recommended guidance for the professional practice of internal
auditing.
