Internal Audit Principles Quiz

What is the primary characteristic of integrity in internal auditing?

• Adherence to moral and ethical principles

• Experience in management

• Ability to perform audits quickly

• Knowledge of financial regulations

What does maintaining objectivity in internal auditing require?

• An unbiased mental attitude

• Personal opinions to influence decisions

• Acceptance of gifts from clients

• Frequent communication with management

What is essential for demonstrating competency as an internal auditor?

• Developing and applying knowledge and skills

• Networking with other auditors

• Having a degree in finance

• Working in the field for over five years

What does exercising due professional care involve?

• Conformance with the Global Internal Audit Standards

• Focusing solely on financial outcomes

• Completing audits in the shortest time possible

• Avoiding communication with stakeholders

Why must internal auditors maintain confidentiality?

• To comply with company policies

• To protect sensitive information

• To avoid legal issues

• To enhance their reputation

What should internal auditors do if they identify legal violations?

• Handle it privately

• Report to the appropriate authorities

• Discuss with colleagues informally

• Ignore the violations

What is a key aspect of professional skepticism?

• Focusing on personal biases

• Avoiding questioning management decisions

• Accepting all information at face value

• Critically assessing the reliability of information

What must internal auditors do regarding potential impairments to objectivity?

• Ignore them if they are minor

• Recognize and disclose them

• Document them for future reference

• Discuss them only with peers

What is the responsibility of the Chief Audit Executive (CAE) regarding competencies?

• Limit training to new hires only

• Delegate all training responsibilities

• Focus solely on financial audits

• Ensure the internal audit function possesses necessary competencies

What should internal auditors do with confidential information?

• Use it only for professional purposes

• Share it with friends

• Sell it for personal gain

• Post it on social media