NEW
Font size
WorksheetsModule 12: Internal Auditor
Total questions: 18
Worksheet time: 6mins
Who is an Internal Auditor (IA)?
An external consultant hired temporarily
A trained professional providing independent and objective evaluations of a company’s activities
A company employee responsible only for accounting
A regulator enforcing laws and penalties
What is the main purpose of employing an Internal Auditor in an organisation?
To replace senior management decision-making
To ensure companies adhere to correct procedures and operate efficiently
To prepare external financial statements
To enforce disciplinary actions
To whom are the final internal audit reports usually presented?
External auditors
Government regulators
Operational staff
Senior management
Which of the following best describes the Internal Auditor’s role in operations analysis?
Designing new products
Reviewing operations and procedures to confirm they support organisational objectives
Approving daily operational decisions
Managing operational staff
After reviewing procedures and processes, what is the Internal Auditor expected to do?
Ignore minor deviations
Report findings and provide relevant recommendations
Implement changes independently
Only document financial issues
What is the primary focus of a compliance review conducted by an Internal Auditor?
Increasing organisational profits
Ensuring compliance with legislation and regulations
Evaluating employee performance
Managing operational risks
What responsibility does an Internal Auditor have regarding non-compliance?
Penalising responsible employees
Explaining the impact of non-compliance and reporting instances
Ignoring minor breaches
Reporting only to external authorities
What is the main objective of control recommendations made by an Internal Auditor?
Eliminating all organisational risks
Assessing whether controls effectively mitigate risks
Designing management strategies
Replacing management controls
Efficient internal control is best described as:
A separate function unrelated to management
A built-in component of the management process
The sole responsibility of auditors
A regulatory requirement only
What does the safeguard assurances function of an Internal Auditor focus on?
Protecting employee interests
Reviewing how organisational assets are protected
Improving operational efficiency
Managing financial investments
What action must an Internal Auditor take if assets are not adequately protected?
Report directly to law enforcement
Ignore the issue if risk is low
Suggest relevant changes to improve safeguards
Take ownership of asset protection
What is the overall goal of an internal audit?
Detect fraud only
Provide assurance on risk management and independent advice to management
Replace corporate governance systems
Conduct financial reporting
Which of the following is a general objective of an internal auditor?
Preparing annual financial statements
Formulating and disseminating internal audit policies and guidelines
Managing operational departments
Supervising external auditors
Which activity supports enhancing public financial management quality?
Conducting market research
Beginning preventive and corrective measures
Hiring additional staff
Reducing audit scope
Which of the following is considered a core value of the internal auditor?
Profitability
Independence
Integrity
Authority
Which core value ensures internal auditors are not influenced by personal or external interests?
Competency
Confidentiality
Objectivity
Integrity
What does confidentiality require from an Internal Auditor?
Sharing information with all stakeholders
Protecting information unless authorised or legally required
Reporting all findings publicly
Ignoring data ownership
Competency as a core value refers to:
Authority to enforce decisions
Years of employment
Applying appropriate skills, knowledge, and experience
Supervisory responsibility
