Free IIA IIA-CRMA-ADV Practice Exams Questions 2026 - TheExamsLabs

Start Preparation with the Latest and Real 100% Free Certification in Risk Management Assurance IIA-CRMA-ADV Exam Dumps Questions Practice 2026

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Total 283 Questions | Updated On: May 22, 2026

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Question 1

After being terminated due to downsizing, an internal auditor finds a different job with an organization in the same industry. Which of the following actions would violate the IIA Code of Ethics?

A : To determine audit priorities in the new job, the auditor uses the audit risk approach that the auditor-s previous employer used, without receiving permission to do so.

B : At the new organization, the auditor is asked to develop forms to implement probability-proportional-to-size sampling. Although unsure of how to perform this type of sampling, the auditor proceeds without asking for assistance.

C : In preparing for an audit at the previous organization, the auditor had conducted a great deal of research on the Internet at home to identify best practices for the management of a treasury function. The auditor has retained much of the research and uses it to conduct an audit of the new employer-s treasury function.

D : In the first week at the new organization, the auditor discovers a high fraud risk surrounding the organization-s database and suggests that the information technology department implement a new password system to prevent fraudulent actions before they occur.

Answer: B

Question 2

Which of the following actions best demonstrates that an internal auditor is exercising due professional care?

A : The auditor performs thorough reviews and provides absolute assurance of regulatory compliance.

B : The auditor is alert to the possibility of fraud and activities where irregularities are most likely to occur.

C : The auditor recommends improvements for all of the organization-s procedures and practices.

D : The auditor is cognizant of reducing travel expenses by combining a personal vacation with a business trip.

Answer: B

Question 3

An internal audit charter, approved by the board, restricts the internal audit activity to providing assurance only on the reliability of financial information and the effectiveness of internal accounting controls. Which of the following statements is true regarding the extent to which the external auditor may rely on the internal audit activity's work?

A : The external auditor may make full use of the work, as the audit charter is very specific as to the work the internal audit activity may undertake.

B : The external auditor may use the work, as the board has approved the charter, thus taking responsibility for any deficiencies.

C : The external auditor must disregard the work, as the scope of the charter may introduce bias and result in a lack of due professional care.

D : The external auditor may use the work with caution, due to the internal audit activity-s scope and responsibility restrictions.

Answer: D

Question 4

Which of the following is an example of collusion?

A : An employee includes a faked receipt in his expense claim, and the claim is signed by the employee-s manager.

B : A vendor inflates the price of an item and remits a portion of the excess to the purchasing manager.

C : A vendor sends a duplicate invoice with a new invoice number, and the accounts payable system fails to detect the duplication.

D : An employee works with the IT manager to develop a program for identifying duplicate invoice payments.

Answer: B

Question 5

A chief audit executive (CAE) reports functionally to the CEO and administratively to the chief financial officer, both of whom serve on the company's board of directors. According to IIA guidance, which of the following would offer the greatest protection for the independence of the internal audit activity?

A : Appoint the CAE as a member of the board.

B : Move the CAE-s functional reporting to an executive who is not on the board.

C : Obtain full board approval of the internal audit activity-s annual audit plan.

D : Move the CAE-s functional reporting to the audit committee.

Answer: D

Page: 1 / 57

Total 283 Questions | Updated On: May 22, 2026

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