IIA Updated IIA-CIA-Part2 Exam Questions and Answers by aliza

The most appropriate course of action for the CAE is to evaluate the robustness and feasibility of the management ' s action plan to address the identified weaknesses. The CAE should monitor the implementation progress, key dates, and deliverables to ensure that corrective actions are on track and will effectively mitigate the risks within the stipulated timeline. References: = IIA Standard 2500 - Monitoring Progress.

 Training new hires on fraud and employee misconduct is a proactive measure that raises awareness and educates employees about the organization’s policies and the consequences of fraudulent behavior.

 Such training helps create a culture of integrity and compliance, making employees less likely to engage in or tolerate fraud.

 Continuous education and reinforcement of ethical behavior are essential components of an effective fraud prevention strategy

If operational management has not implemented effective actions to address a significant control breach, the most appropriate next step for the chief audit executive is to discuss the matter with senior management. This step involves escalating the issue to a higher level of authority to ensure that the risks associated with the control breach are properly understood and addressed. If senior management fails to take appropriate action, the CAE may then escalate the issue to the board.

IIA Standard 2500: Monitoring Progress

IIA Practice Guide: Auditing Organizational Governance

The most appropriate conclusion for the auditor to include in the audit report is that the organization had weaknesses in its review process which allowed questionable transactions with some vendors. This conclusion directly addresses the identified issue of questionable vendor documentation and implies that there are control deficiencies in the review process that need to be addressed to prevent such occurrences in the future.

IIA Standards: 2410 - Criteria for Communicating

IIA Practice Guide: Reporting and Monitoring