International Professional Practices

Question 1

What is the IIA

Answer 1

Institute of Internal Auditors - Sets standards with respect to internal auditing

Question 2

What is the IPPF and what two broad guidance categories does it consist of?

Answer 2

International Professional Practices Framework

1) Mandatory
2) Strongly Recommended

Question 3

What 4 elements does mandatory guidance consist of?

Answer 3

1) Definition of internal audit
2) Core principles for the practice of internal audit
3) Code of ethics
- 4 principles “core values”
A) Integrity
B) Objectivity
C) Confidentiality
D) Competency

4) Standards

Question 4

What 2 elements does non-mandatory (strongly recommended) guidance consist of?

Answer 4

1) Implementation guidance

2) Supplemental guidance

Question 5

What are the 2 categories of “Standards” - Mandatory Guidance

Answer 5

Attribute Standards

Performance Standards

Question 6

Attribute Standards - IIIA

Answer 6

Standards presented as “Statements” organized around 4 themes:

1) Purpose, Authority, and Responsibility (1000)
2) Independence and Objectivity (1100)
3) Proficiency and Due Professional Care (1200)
4) Quality Assurance and Improvement Program (1300)

Question 7

Purpose, Authority, and Responsibility (Standard 1000)

Answer 7

Must be defined in an internal audit charter. Chief audit executive must periodically review internal audit charter and present it to senior management and board for approval

A)Implementation Standards - Nature of assurance services must be defined in charter
Nature of consulting services must be defined in charter