IIA ACCA CIA Challenge - IIA-ACCA Exam Questions [2026]

QUESTION NO: 1
Which of the following stages of contracting focuses on aligning the markets with objectives of the organization?

A. Initiation stage B. Negotiation stage C. Bidding stage D. Development stage

Correct Answer: B

QUESTION NO: 2
As it relates to the data analytics process, which of the following best describes the purpose of an internal auditor who cleaned and normalized data?

A. The auditor eliminated duplicate information. B. The auditor made data usable for a specific purpose by ensuring that anomalies were identified and corrected. C. The auditor organized data to minimize useless information. D. The auditor ensured data fields were consistent and that data could be used for a specific purpose.

Correct Answer: B

QUESTION NO: 3
Which of the following is a product-oriented definition of a business rather than a market-oriented definition of a business?

A. We make movies. B. We are a people-and-goods mover. C. We supply energy. D. We provide climate control in the home.

Correct Answer: A

QUESTION NO: 4
When an organization is choosing a new external auditor, which of the following is the most appropriate role for the chief audit executive to undertake?

A. Identify regulatory requirements to be considered. B. Review and acquire the external audit service. C. Assess the appraisal and actuarial services. D. Determine the selection criteria.

Correct Answer: A

QUESTION NO: 5
Which audit approach should be employed to test the accuracy of information housed in a database on an un-networked computer?

A. Evaluate compliance with the organization's change management process. B. Submit batches of test transactions through the current system and verify with expected results. C. Select a sample of records from the database and ensure it matches supporting documentation. D. Use a test program to simulate the normal data entering process.

Correct Answer: C

QUESTION NO: 6
Faced with a complex, highly technical construction audit engagement, the chief audit executive (CAE) considered complementing the current internal audit resources by engaging the services of a civil engineer.
Which of the following should the CAE consider in determining whether the engineer possesses the necessary skills to perform the engagement?
1. Professional certification, license, or other recognition of the engineer's competence in the relevant discipline.
2. Experience of the engineer in the type of work being considered.
3. Compensation or other incentives that the engineer may receive.
4. The extent of other ongoing services that the engineer may be performing for the organization.

A. 1, 2, and 4 only B. 3 and 4 only C. 1 and 4 only D. 2 and 3 only

Correct Answer: A

QUESTION NO: 7
Which of the following application software features is the least effective control to protect passwords?

A. Forced change of passwords after a designated number of days. B. Suspension of user IDs after a user's repeated attempts to sign on with an invalid password. C. Encryption of passwords prior to their transmission or storage. D. Automatic logoff of inactive users after a specified time period of inactivity.

Correct Answer: A

QUESTION NO: 8
When setting the scope for the identification and assessment of key risks and controls in a process, which of the following would be the least appropriate approach?

A. Develop the scope of the audit to include controls that are necessary to manage risk associated with a critical business objective. B. Specify that the auditors need to assess only key controls, but may include an assessment of non-key controls if there is value to the business in providing such assurance. C. Develop the scope of the audit based on a bottom-up perspective to ensure that all business objectives are considered. D. Ensure the audit includes an assessment of manual and automated controls to determine whether business risks are effectively managed.

Correct Answer: C

QUESTION NO: 9
In which type of business environment are price cutting strategies and franchising strategies most appropriate?

A. Fragmented, decline. B. Competitive, embryonic. C. Embryonic, focused. D. Mature, fragmented.

Correct Answer: D

QUESTION NO: 10
Maintenance cost at a hospital was observed to increase as activity level increased. The following data was gathered:
Activity Level -
Maintenance Cost
Month
Patient Days
Incurred
January
5,600
$7,900
February
7,100
$8,500
March
5,000
$7,400
April
6,500
$8,200
May
7,300
$9,100
June
8,000
$9,800
If the cost of maintenance is expressed in an equation, what is the independent variable for this data?

A. Patient days. B. Fixed cost. C. Variable cost. D. Total maintenance cost.

Correct Answer: A

QUESTION NO: 11
Which of the following statements describes impairment to the internal auditor's objectivity?

A. An internal auditor reviews a purchasing agent's contract drafts prior to their execution. B. An internal auditor receives a promotional gift that is available to the organization's employees. C. An internal auditor performs an assessment of the operations for which he was recently responsible. D. An internal auditor reduces the scope of an audit engagement due to budget restrictions.

Correct Answer: C