If an internal auditor needs to evaluate compliance with an internal control policy, which sampling method is most appropriate?

• A. Difference estimation sampling
• B. Attribute sampling
• C. Probability-proportional-to-size sampling

Based on the three elements of the Fraud Triangle, which of the following might be considered a fraud indicator related to the opportunity element?

• A. Executive management establishes financial performance objectives for business unit managers. The objectives include significant increases in annual sales and market penetration
• B. Poor segregation of duties allows for an executive assistant to authorize payments to one-time vendors without supervisory approvals
• C. Reserves were established based on conservative assumptions to maximize the amounts set aside for when operating results may not meet investors' expectations

Which of the following is most likely to be considered an internal audit assurance service?

• A. Process design engagement.
• B. Facilitation engagement.
• C. Compliance engagement.

According to The IIA's Code of Ethics, which of the following best illustrates the principle of confidentiality?

• A. The auditor declined to lead an audit of a department in which his nephew is the manager.
• B. The auditor declined to delegate critical audit lead responsibilities to a new auditor.
• C. The auditor refused to use information learned during an audit to diversify his financial portfolio.

An internal auditor wants to use computerized audit tools and techniques. Which of the following is a common obstacle that the auditor is likely to face?

• A. Difficulty getting the requisite IT personnel to conduct the tests.
• B. A lack of specialist IT skills needed to use the tools.
• C. Difficulty obtaining access privileges to relevant and reliable data.