August 2020 Internal Auditor Quiz

1. As explained in "The Digitally Transformed Enterprise," part of the reason some companies are further behind than others when it comes to adopting technology and data processes has to do with culture.

True

False

2. According to "The Artificially Intelligent Audit Function," in choosing its artificial intelligence (AI) infrastructure, the internal audit function should:

Consider business needs and how well the technologies will integrate with the organization’s existing systems.

Hire a consulting firm to advise the department about AI technologies and implement solutions.

Implement AI audit solutions that are common in the organization’s industry.

Read independent product reviews and recommendations from reputable AI publications and websites.

3. In "Reimagining Resilience," Jenitha John says if internal auditors do this they will develop the courage necessary to understand, learn, speak up, and open themselves to new challenges.

Get a certification.

Commit to lifelong learning.

Join The IIA.

Navigate corporate politics.

4. According to "The Artificially Intelligent Audit Function," auditors for the state of New York use AI-based predictive models to understand risk factors such as improper payments to vendors.

True

False

5. In Amanprit Kaller's "Agile Auditing Simplified," a common concern when adopting Agile auditing is that stakeholders want more than one daily meeting with audit.

True

False

6. In "Reimagining Resilience," Jenitha John says, for internal auditors, being agile means:

Ensuring their teams are aligned with organizational priorities.

Ensuring their teams can respond quickly.

Providing relevant insights and advice that foster innovation.

All of the above.

7. According to "Magical Words," by Norman Marks, internal audit can help protect and enhance the organization's value by considering whether:

Audit committee members are aware of value-creating opportunities and competitive risks.

Management has weighed the risks related to emerging risks.

The board has provided appropriate oversight over new business ventures.

8. In Amanprit Kaller's "Agile Auditing Simplified," in which audit phase is the risk conclusion updated?

Pre-planning.

Planning.

Fieldwork.

Reporting.

9. According to "The Artificially Intelligent Audit Function," by Kitty Kay Chan and Tina Kim, internal auditors can use natural language processing to:

Convert audit findings into an audit report.

Report on the level of equipment stockpiles at a production facility.

Scan vast amounts of text such as email, contracts, and social media posts.

Transcribe voice recordings into text documents for analysis.

10. According to a webinar poll cited in "The Digitally Transformed Enterprise," what percentage of participants indicated they were "somewhere in the middle" of the process of implementing data analytics into their audit function?

15%.

28%.

38%.

54%.

11. In "Reimagining Resilience," Jenitha John says ____________ bring opportunities for those ready and willing to grasp them.

Risks.

Jobs.

Threats.

Audits.

12. In "Trust in Technology," which of the following is cited as one of the reasons machine-learning systems can generate prejudicial output?

The system is molded entirely by its imperfect learning environment.

Excessive processing demands may cause a system malfunction.

Machine learning was not meant to process this type of dat

None of the above.

13. According to "Magical Words," the highly effective chief audit executive expresses an opinion on the adequacy of controls and details the controls that are less than effective.

True

False

14. According to "Agile Auditing Simplified," the backlog is comprised of:

Sprints.

Storytime meetings.

User stories.

None of the above.

15.

According to "Magical Words," business leaders seek internal audit's insights on matters that affect how they run the organization, such as:

An assessment of risks at local facilities.

Control weaknesses that may lead to fraud and mismanagement.

The inability of a department head to trust his employees.

The organization’s ability to perform as management and the board need.