Questions from Auditing and Assurance

Q: Define internal auditing.

Define internal auditing.

Q: Briefly describe the factors that are important to the management of an

Briefly describe the factors that are important to the management of an internal auditing department.

Q: Describe the requirements for becoming a Certified Internal Auditor.

Describe the requirements for becoming a Certified Internal Auditor.

Q: Differentiate between financial statement audits and operational audits.

Differentiate between financial statement audits and operational audits.

Q: Describe the purpose of an operational audit.

Describe the purpose of an operational audit.

Q: Should the internal auditors generally disclose their findings to operating personnel of

Should the internal auditors generally disclose their findings to operating personnel of the department involved before transmitting the report to top management? Explain.

Q: Describe the two types of agreed-upon procedures engagements that CPAs

Describe the two types of agreed-upon procedures engagements that CPAs may perform relating to compliance with laws and regulations.

Q: Evaluate this statement: “An agreed-upon procedures engagement on

Evaluate this statement: “An agreed-upon procedures engagement on compliance with a law is designed to provide users with negative assurance on whether an entity has complied with that law.”

Q: Describe the role of a broker-dealer.

Describe the role of a broker-dealer.

Q: Explain why tests of compliance with laws and regulations are considered to

Explain why tests of compliance with laws and regulations are considered to be substantive tests.