Int Aud Quiz #1 A system of direction, feedback, and

control using regulations,

1. Management is: performance standards and ethical
A group of executives given the guidelines to hold the board and
authority by the Board of Directors to senior management accountable for
implement the policies it has laid ensuring ethical behavior –
down in the conduct of the business reconciling long-term customer
of the corporation. satisfaction with shareholder value –
A group of contractual employees given to the benefit of all stakeholders and
the authority by the Board of Directors to society.
implement the policies it has laid down in 3. Under the Code of Corporate
the conduct of the business of the Governance for Public-Listed
corporation. Companies, the Board should establish
A group of rank-and-file employees given an Audit Committee to
the authority by the Board of Directors to Both choices are correct
implement the policies it has laid down in Enhance its oversight capability over
the conduct of the business of the the company’s financial reporting,
corporation. internal control system, internal and
A group of supervisors given the external audit processes, and
authority by the Board of Directors to compliance with applicable laws and
implement the policies it has laid down in regulations.
the conduct of the business of the Provides independent, objective
corporation. assurance and consulting services
2. Corporate Governance is designed to add value and improve an
A system of direction, feedback, and organization’s operations.
control using regulations, performance 4. Which of the following best describes the
standards and unethical guidelines to value of assurance?
hold the board and senior management To add value and improve and
accountable for ensuring unethical organization’s operations.
behavior – reconciling long-term To give investors, creditors, and users of
customer satisfaction with shareholder information confidence on the accuracy
value – to the benefit of all stakeholders of data.
and society. To examine and evaluate an
A system of direction, feedback, and organization’s accounting system as a
control using regulations, performance service of management.
standards and unethical guidelines to To assist management with the design
hold the board and senior management and implementation of risk management
accountable for ensuring unethical and control systems.
behavior – reconciling short-term 5. Assurance engagements involve:
customer satisfaction with shareholder Two separate parties: a practitioner and
value – to the benefit of all stakeholders intended users.
and society. Two separate parties: a responsible part
A system of direction, feedback, and and intended users.
control using regulations, performance Two separate parties: a practitioner and
standards and ethical guidelines to hold a responsible party.
the board and senior management Three separate parties: a practitioner,
accountable for ensuring ethical behavior intended users, and responsible
– reconciling long-term customer party.
satisfaction with shareholder value – to 6. The following are the elements of
the benefit of all stakeholders and mandatory guidance, except:
society. Core principles for the professional
practice of internal auditing
 International Standards on Auditing
Definition of Internal auditing
Code of ethics
7. Which of the following statement is
correct regarding core principles for
professional practice of internal auditing?
It educated practitioners and other
relevant audience on best practices in
internal auditing.
The core principles, taken as a whole,
articulate internal audit effectiveness.
It articulates what internal audit aspires to
accomplish within an organization.
It demonstrates how practitioners should
leverage the entire framework to facilitate
their ability to achieve the Mission.
8. Recommended Guidance:
Both choices are correct.
Describes the minimum requirements
for conduct, and behavioral
expectations rather than specific
activities.
Describes practices for effective
implementation of the IIA;s Core
principles, definition of internal auditing,
code of ethics, and standards.
9. Activities in support of the IIA mission will
include the following, except:
Educating practitioners and other
relevant audiences on best practices in
internal auditing.
Researching, disseminating, and
promoting knowledge concerning
internal auditing and its appropriate
role in control risk management, and
governance to selected stakeholders
only.
Providing comprehensive professional
educational and development
opportunities, standards and other
professional practice guidance, and
certification programs.
Bringing together internal auditors from
all countries to share information and
experiences.