IIA IIA-IAP Practice Exams
Last updated on Oct 21,2026- Exam Code: IIA-IAP
- Exam Name: Internal Audit Practitioner
- Certification Provider: IIA
- Latest update: Oct 21,2026
Which of the following is the best audit procedure to determine whether all of a bank’s loans are backed by sufficient collateral, properly aged as to current payments, and properly categorized as current or noncurrent?
- A . Use generalized audit software to read the total loan file, age the file by last payment due, and select a statistical sample stratified by the current and aged population. Examine each loan selected for proper collateralization and aging.
- B . Select a block sample of all loans in excess of a specified dollar limit and determine whether they are current and properly categorized. For each loan approved, verify aging and categorization.
- C . Select a discovery sample of all loan applications to determine whether each application contains a statement of collateral.
According to IIA guidance, which one of the following hiring strategies is most appropriate to fill internal audit positions?
- A . Hire the required number of internal auditors to accomplish the audit plan
- B . Recruit candidates to fulfill the skills requirement of the internal audit activity
- C . Assess each candidate’s competency for an upcoming audit
When determining the appropriate level of resources needed for an engagement, which of the following would be the first step?
- A . Determine the sufficiency of internal audit staff
- B . Identify required technology and audit tools
- C . Determine travel and related costs for the engagement
Which of the following is an important consideration when providing quality audit communications?
- A . Include as much detail as possible.
- B . Provide a fair and balanced assessment.
- C . Demonstrate knowledge by using technical language.
A member of the internal audit team worked eight months ago in an area of the organization that she is now being tasked with auditing.
Which of the following would most likely be impacted by her participation in the audit?
- A . Integrity
- B . Objectivity
- C . Competency
Which of the following scenarios would be the strongest indicator of fraud in an accounts payable process?
- A . The accounts payable manager was unable to provide documentation relating to travel expenses on one of the samples selected.
- B . The invoices submitted by one of the organization’s vendors are more than six months old.
- C . The address on one of the vendor invoices matches an employee’s residential address.
The chief audit executive scheduled an exit meeting to discuss conclusions and recommendations with management before issuing the final engagement communication.
Which of the following describes the primary reason that the exit meeting should be documented?
- A . The Standards require that the internal auditor document exit meetings
- B . The information may be needed if a disagreement about the content arises
- C . The results of the discussion form part of the internal auditor’s performance review
An internal auditor is planning a business continuity audit engagement at a remote manufacturing plant. During planning interviews, the plant manager stated that the local Environmental, Health, and Safety (EHS) Department, which reports to the plant manager, had completed a similar review six months ago. The EHS review did not find any significant weaknesses.
How should the internal auditor consider the EHS review results in the current audit engagement planning?
- A . Ignore the EHS review results, as the department is not a reliable source of information due to its lack of objectivity and independence.
- B . Recommend canceling the audit engagement, as it would be a duplication of effort to revisit the same process already reviewed by EHS.
- C . Evaluate the objectivity and competency of the EHS reviewers and their work to determine whether their review results may be relied upon.
Which of the following best demonstrates that appropriate and sufficient resources were allocated to an audit engagement to achieve its objectives?
- A . Staff skills audit.
- B . Approved engagement work program.
- C . Post-engagement survey of management of the audited area.
To be organizationally independent, the chief audit executive should administratively report to which of the following?
- A . The audit committee.
- B . The board of directors.
- C . The chief executive officer.