CIA EXAM - Part 1: I Foundations of Internal Auditing (15%) Questions and Answers | Latest Update | Graded A

CIA EXAM - Part 1: I Foundations of Internal Auditing (15%) Questions and Answers | Latest Update | Graded A What are the Core Principles for the Professional Practice of Internal Auditing (mandatory guidance of IPPF)? 1). *Core Principles* - are the basis for internal audit effectiveness. Audit function is effective if all principles are present: a). Integrity. b). Competence and due professional care. c). Independent. d). Aligns w/ the strategies, objectives, and risks of the organization. e). Appropriately positioned and adequately resourced. f). Demonstrates quality and continuous improvement. g). Communicates effectively. h). Provides risk-based assurance. i). Is insightful, proactive, and future-based. j). Promotes organizational improvement. What are the Rules of Conduct - Integrity? Rules of Conduct - Integrity Internal auditors: 1.1. Shall perform their work with honesty, diligence, and responsibility. 1.2. Shall observe the law and make disclosures expected by the law and the profession. 1.3. Shall not knowingly be a party to any illegal activity, or engage in acts that are discreditable to the profession of internal auditing or to the organization. 1.4. Shall respect and contribute to the legitimate and ethical objectives of the organization. What are the Rules of Conduct - Objectivity? Internal auditors: 2.1. Shall not participate in any activity or relationship that may impair or be presumed to impair their unbiased assessment. This participation includes those activities or relationships that may be in conflict with the interests of the organization. 2.2. Shall not accept anything that may impair or be presumed to impair their professional judgment. 2.3. Shall disclose all material facts known to them that, if not disclosed, may distort the reporting of activities under review. What are the Standards (mandatory guidance of IPPF)? Standards (known formally as the *International Standards for the Professional Practice of Internal Auditing*) serve the following 4 purposes: 1). Guide adherence with mandatory elements of IPPF. 2). Provide framework for performing and promoting a range of value added internal auditing services. 3). Establish the basis for the evaluation of internal audit performance. 4). Foster improved organization processes and operations. *Attribute Standards* - govern the responsibilities, attitudes,