CISA Information System Auditing Process Practice Test 6 — 15 Questions

Question 1

Which of the following is a key difference between an internal audit and an external audit?

Accepted Answer

Internal auditors are employees of the organization, which may affect independence.. Internal auditors are employees of the organization, which may create independence concerns, while external auditors are independent third parties.

Answer

External audits are always required by law, while internal audits are voluntary.

Answer

External auditors issue a report to management, while internal auditors report to the board.

Answer

Internal audits focus only on financial controls.

Question 2

An IS auditor is performing a compliance audit of data privacy regulations. The auditor finds that the organization's privacy policy is not fully aligned with regulatory requirements. Which of the following is the auditor's BEST course of action?

Accepted Answer

Report the finding as a non-compliance issue and recommend updates to the policy.. The auditor should report the non-compliance finding and recommend corrective actions, as the primary goal of a compliance audit is to identify gaps.

Answer

Ignore the issue because the policy is only a minor deviation.

Answer

Draft a new privacy policy for the organization.

Answer

Conclude that the organization is compliant because the policy exists.

Question 3

Which of the following evidence types involves the auditor independently performing a control procedure to verify its effectiveness?

Accepted Answer

Re-performance. Re-performance is when the auditor independently executes a control to confirm it operates as designed.

Answer

Inspection

Answer

Observation

Answer

Inquiry

Question 4

Which TWO of the following are types of statistical sampling methods? (Select TWO.)

Accepted Answer

Stratified sampling. Stratified sampling and systematic sampling are both statistical methods that use random selection.

Answer

Block sampling

Answer

Haphazard sampling

Answer

Judgmental sampling

Question 5

Which THREE of the following are phases of the audit process as defined by ISACA? (Select THREE.)

Accepted Answer

Fieldwork. The audit process phases include planning, fieldwork, reporting, and follow-up.

Answer

Remediation

Answer

Execution

Question 6

An IS auditor is evaluating the effectiveness of controls over a critical financial application. Which TWO of the following are appropriate audit procedures to test the design and implementation of controls? (Select TWO.)

Accepted Answer

Performing a walkthrough of the control process.. Walkthroughs and inspection of documentation are common procedures to evaluate design and implementation.

Answer

Performing a penetration test on the application.

Answer

Sending a confirmation letter to the vendor.

Answer

Calculating the return on investment for the application.

Question 7

An IS auditor is planning an audit of a financial application. The auditor wants to ensure that audit effort is focused on areas with the highest risk. Which approach should the auditor adopt?

Accepted Answer

Risk-based audit approach. A risk-based audit approach prioritizes high-risk areas for more intensive testing, aligning with ISACA standards.

Answer

Substantive approach

Answer

Control self-assessment approach

Answer

Compliance-based approach

Question 8

Which of the following is the PRIMARY reason an external audit is considered more independent than an internal audit?

Accepted Answer

External auditors are not employees of the organization.. External auditors are third-party and not employees, reducing bias and enhancing independence.

Answer

External auditors follow stricter standards.

Answer

External auditors have more technical expertise.

Answer

External auditors have access to more resources.

Question 9

During an audit, the auditor uses a sampling method where the population is divided into subgroups, and samples are selected from each subgroup. This method is known as:

Accepted Answer

Stratified sampling. Stratified sampling divides the population into subgroups (strata) and samples from each.

Answer

Systematic sampling

Answer

Judgmental sampling

Answer

Random sampling

Question 10

An IS auditor is performing a walkthrough of the accounts payable process. Which audit procedure is the auditor primarily executing?

Accepted Answer

Walkthrough. A walkthrough involves tracing a transaction from initiation to completion, often combining inquiry, observation, and inspection.

Answer

Re-performance

Answer

Inquiry

Answer

Observation

Question 11

According to ISACA IT Audit Standards, which phase of the audit process includes the development of an audit programme?

Accepted Answer

Planning. The planning phase includes defining scope, risk assessment, and developing the audit programme.

Answer

Reporting

Answer

Fieldwork

Answer

Follow-up

Question 12

An auditor is selecting a sample of purchase orders for testing. The auditor decides to select every 50th purchase order from a list. This is an example of:

Accepted Answer

Systematic sampling. Systematic sampling selects items at a fixed interval (every nth item).

Answer

Judgmental sampling

Answer

Random sampling

Answer

Stratified sampling

Question 13

Which of the following best describes audit risk in the context of an IS audit?

Accepted Answer

Risk that the auditor will issue an incorrect opinion.. Audit risk is defined as the risk that the auditor will issue an incorrect opinion (option C). Option B represents the audit risk model (Inherent risk × Control risk × Detection risk), which is a formula for assessing audit risk, not the definition itself. Therefore, C is the best description.

Answer

Risk that a material misstatement exists.

Answer

Inherent risk × Control risk × Detection risk

Answer

Risk that controls will not prevent or detect errors.

Question 14

An IS auditor is reviewing the effectiveness of a control that requires dual approval for payments over $10,000. The auditor selects a sample of payments and independently verifies that two approvals were obtained. This audit procedure is:

Accepted Answer

Re-performance. Re-performance involves the auditor independently executing the control to verify its effectiveness.

Answer

Inquiry

Answer

Observation

Answer

Inspection

Question 15

Which type of audit is primarily concerned with evaluating the efficiency and effectiveness of operations?

Accepted Answer

Operational audit. An operational audit focuses on efficiency and effectiveness of operations.

Answer

Financial audit

Answer

Compliance audit

Answer

IS audit