Back to Explore

Internal Audit Function Quiz

Question 1 of 3

Q1 . An internal audit is completely similar to an external audit.

A True

B False

Q2 . It is an independent appraisal function established within the organization to carry out the role and responsibility defined in the Internal Audit Charter.

A Internal Audit Department

B External Audit Department

C Independent Audit Department

D None of the above.

Q3 . State true or false- The final reports of the internal audits of an organization are shared with shareholders or members who are outside the organization's governance structure.

A True

B False

Q4 . ____________________ is an appraisal activity established or provided as a service to the entity. Its functions include, amongst other things, examining, evaluating and monitoring the adequacy and effectiveness of internal control.

A Internal Audit

B External Audit

C Any of the above.

D None of the above.

Q5 . It is a formal written statement that defines the approved purpose, authority, and responsibility of the internal audit activity.

A Internal Audit Plan

B Internal Audit Charter

C Internal Audit Program

D None of the above.

Q6 . The internal audit function is generally considered independent when it can carry out its work freely and ___________.

A Efficiently

B Effectively

C Objectively

D All of the above.

Q7 . Name the costs that a company expects to be levied in the future when the plant is shut-down.

A De-commission liability

B Commission liability

C Asset Property costs

D None of the above

Q8 . Statement 1. External auditors generally consider operations a whole relative to objectives while internal auditors focus primarily on financial systems that have a direct, significant effect on the amounts reported in financial statements. Statement 2. External auditors consider even small amounts of fraud, waste, and abuse as symptoms of underlying issues. The internal auditor considers just what materially affects the financial statements since that is the nature of their engagement.

A Only Statement 1 is correct.

B Only Statement 2 is correct.

C Both statements are correct.

D Both statements are wrong.

Q9 . There are ______ types of internal audits.

A 5

B 2

C 4

D 6

Q10 . Related to independence is the assumption that internal auditors have unrestricted access to whatever they might need to make an objective assessment. That includes restricted access to plans, forecasts, people, data, products, facilities, and records necessary to perform their independent evaluations.

A True

B False

Q11 . ____________________ are expected to take a more focused oversight role in respect of risk management and internal control.

A Internal Auditors

B Audit Committees

C External Auditors

D None of the above.

Q12 . Internal Audit is an independent, objective assurance and consulting activity designed to add value and improve an organization's operations. It helps an organization accomplish its objectives by bringing a systematic, disciplined approach to evaluate and improve the effectiveness of risk management, control, and governance processes.

A True

B False

Q13 . Which of the following option is not one of the five directives from the IIA's Statement of Responsibilities of Internal Auditing that are included in most charters?

A Appraise the economy and efficiency with which resources are employed;

B Review the means of safeguarding assets and, verify the existence of such assets;

C Review the systems established to ensure compliance with those policies, procedures, laws, regulations, and contracts which could have an important impact on operations and reports.

D Create operations or programs to ascertain whether results are consistent with established objectives and goals and whether the operations or programs are being carried out as planned.

Q14 . There are three important assumptions implicit in the definition, objectives, and scope for internal auditing. Which is not one of them?

A The assumption that the internal auditing function is staffed with people possessing the necessary education, experience, and proficiency to perform competently.

B Auditor independence.

C The assumption that the evaluations and conclusions contained in internal auditing reports are directed internally to management and the board, not to stockholders, regulators, or the public.

D The presumption that the evaluations and conclusions contained in internal auditing reports are directed internally to management and the board, not to stockholders, regulators, or the public.

From Classroom to Quiz Stardom

When James Wilson first created a quiz on ancient civilizations for his high school history class, he never imagined it would lead to a side career as one of QuizMaker's most successful creators.

Three years and over 200 quizzes later, James's 'History Mysteries' series has amassed more than 2 million plays and a dedicated following of history enthusiasts from around the world.

Finding a Niche in Historical Puzzles

James's approach combines historical accuracy with engaging storytelling and problem-solving elements. 'I wanted to create quizzes that weren't just about memorizing dates and names,' he explains. 'Each quiz tells a story and invites players to solve a historical mystery or puzzle.'

This unique format has resonated with players who might not typically be drawn to history content, helping James build an audience beyond traditional history buffs.

Building a Community Around Historical Content

Beyond creating engaging quizzes, James has built a thriving community through his dedicated social media channels and a monthly newsletter where he shares historical facts, behind-the-scenes research, and previews of upcoming quizzes.

'The community aspect has been the most rewarding part,' James says. 'I receive messages from students saying my quizzes helped them develop a love for history, and from older adults who enjoy testing their knowledge and learning new things.'

Monetization Strategy

While James started creating quizzes as a teaching tool, they've now become a significant source of income. Through a combination of premium quizzes, sponsorships from educational companies, and affiliate marketing for history books and courses, he's been able to generate substantial revenue.

'Last year, my quiz income actually exceeded my teaching salary,' James reveals. 'It's allowed me to reduce my teaching hours and focus more on creating high-quality educational content.'